The Canadian Scotia Bank issued its daily gold and silver market watch for August 20. It highlighted the gold market movement and gave a technical commentary for gold and silver.
Gold consolidated after the outstanding performance last week, taking a break as expected. Gold price opened the trading session at $1,364.50 low. Gold price increased to high of $1,378.50 by mid-day. The yellow metal closed the trading session at $1,373.
On the technical side, gold closed the trading session higher. The RSI indicator was lower at the previous high at 61.64 of November 2012. Indicators suggest a bullish market as long as it stays above the $1,348 mark, the previous high from July 2013. The next key resistance is $1,415, the 38.2% retracement of 2012-2013 downtrend and the previous congestion of May-June 2013.
Gold moved up by 0.4% for the day, 3.8% for the 5-days and 5.8% for the month. The 5-Day MA was at $1,363.41 and the 10-Day MA at $1,339.25. The 100-Day MA was at $1,371.54 and the 200-Day MA at 1,513. London AM Fix was at $1,365.75 and the PM Fix at $1,372.50. The Pivot point for gold on Tuesday was at $1,369.52, support was at $1,354.50 and the current resistance at $1,386.97. The 9-day RSI was at 67, and the 14-day RSI was at 63.