Gold Movement
Gold prices traded lower by 1.81% against the USD in the 24 hour period ending 23:00GMT, at 1675.89 per ounce, as greenback strengthened, amid fading speculation over further stimulus for the US economy, as Dallas Fed President, Richard Fisher, expressed his objection for an additional round of quantitative easing.
Gold came under pressure during the European trading hours, after the Institute of International Finance (IIF), warned that Greek default could force Italy and Spain in need of financial aid also, decreasing the demand for the precious metal as a hedge against inflation.
In the In the Asian session, at GMT0400, Gold is trading at 1676.43, 0.03% higher from yesterday’s close.
Gold is expected to find support at 1657.94, and a fall through could take it to the next support level of 1639.45. Gold is expected to find its first resistance at 1700.29, and a rise through could take it to the next resistance level of 1724.16.
The yellow metal is converging with its 20 Hr and trading below its 50 Hr moving average.
