Gold Price Clears May High to Set Fresh Record

The price of gold clears the May high ($2450) to set a fresh record high ($2484).

Gold Price Outlook

The price of gold extends the rally from earlier this to push the Relative Strength Index (RSI) towards overbought territory, with a move above 70 in the oscillator likely to be accompanied by a further advance in bullion like the price action from earlier this year.

A break/close above $2501 (50% Fibonacci extension) opens up $2554 (61.8% Fibonacci extension) with the next area of interest coming in around $2592 (100% Fibonacci extension).

Nevertheless, the bullish price action may unravel if bullion struggles to hold above $2448 (38.2% Fibonacci extension), with a move below the $2363 (161.8% Fibonacci extension) to $2396 (78.6% Fibonacci extension) region bringing the monthly low ($2319) on the radar.

--- Written by David Song, Strategist at FOREX.com