Gold: Solid demand on geopolitical risks

FXStreet (Bali) - Gold keeps rising for a fourth consecutive day, reaching a new 2-week high at 1,316.50 following geopolitical risk headlines.

News that Obama had authorized targeted airstrikes to protect American personnel in Iraq on Thursday, caused the shinny metal to find safe-heaven bids.

Order flow wise, expect the ongoing bullish momentum to be challenged by an area of supply imbalance at $1,318-24 (origin decline July 17), while on the downside, there should be significant interest to reinstate longs on dips, with areas of demand spotted at $1,310-08 ahead of $1,304-00.