Technical Analysis Gold(2015.11.03)
Gold prices moved lower on Monday as U.S. yields increased in the wake of a stronger than expected construction spending report. U.S. construction spending grew by 0.6% compared to a median of 0.4% in September following a 0.7% rate in August.
Prices are poised to test support near an upward sloping trend line that connects the lows in August to the lows in October and comes in near 1,118. Momentum is negative as the MACD recently generated a sell signal and is now printing in the red with a downward sloping trajectory which points to lower prices for the yellow metal.