Gold Movement
Gold prices traded higher by 0.15% against the USD in the 24 hour period ending 23:00GMT, at 1692.95 per ounce, after the Bank of Japan indicated that it would introduce open-ended asset purchases from 2014, thereby boosting speculation that a revival of the economy would raise demand for the precious metal.
However, investors speculated that gains in precious metal may be capped, amid a lack of fresh catalysts, as investors also opted for riskier assets against the backdrop of a global economic recovery.
In the Asian session, at GMT0400, Gold is trading at 1693.50, marginally higher from yesterday’s close.
Gold is expected to find support at 1688.12, and a fall through could take it to the next support level of 1682.73. Gold is expected to find its first resistance at 1697.52, and a rise through could take it to the next resistance level of 1701.53.
The yellow metal is showing convergence with its 20 Hr moving average and is trading above its 50 Hr moving average.
