XAU/EUR - Sentiment analysisGold has broken the €1245 resistance and has tested Fib 0.786 resistance at €1273.-
Sentiment is bullish but has still not reached resistance levels. Also ADX shows that there is still strong bullish power which could lead to short-term raise in Gold price to the 0.888 Fib level (€1322 - 1327).
The Dow is currently trying to break through it´s overhead trend-line resistance €27420-27460.
If the Dow does not have sufficient strength to brake trough this resistance line then this could lead to an extended rally in Gold.
However, latest COT report indicates that commercial traders are already net short and that small / retail traders are net long which is a bearish signal.
Next few days will tell us in which direction the DJI is going and what that means for the Gold price.
Short-term I´m bullish/neutral, intermediate term bearish and long-term bullish on Gold.
