FX.co ★ Analysis of Gold for March 02,.2021 - Bear flag pattern in creation and potential for re-test of the $1.707

Comments from the OPEC Secretary General

• Headwinds of uncertainty that shocked the market last year continue to abate
• Positive global economic developments and resilient demand in Asia are encouraging

A short time ago, OPEC's joint committee said global oil stockpiles are on track to decline each month this year even if OPEC+ restores all of the missing 2.4 mbpd by June, including the Saudi voluntary cut.

In August, OECD inventories are set to drop below their 2015-2019 average.

Further Development

Analyzing the current trading chart of Gold, I found that the downside trend is still active and that preferable strategy under this condition is to sell on the rallies.

Key Levels:

Resistance: $1,740

Support levels: $1,707