Gold corrected from 4-month high
Gold strengthened as a safe haven amid escalating tensions between Russian and Ukraine. Yesterday XAU/USD reached the highest level since the end of October at $1,354. According to CFTC, large players increased their gold longs by 40% to 13-month high in the week before February 25.
Today, however, the precious metal corrected down to support at $1,337 (61.8% of the decline since August to December). According to ANZ, “the current round of gains may retrace should the tension in the Ukraine ease.”
Chart. Daily XAU/USD