Gold Movement
On Friday Gold prices traded lower by 1.50% against the USD in the 24 hour period ending 24:00GMT, at 1610.10 per ounce, as the greenback strengthened after the Federal Reserve Chairman, Ben Bernanke stated that the US economy was improving, thereby reducing demand for the precious metal.
In the Asian session, at GMT0400, Gold is trading at 1615.45, 0.33% higher from Friday’s close, as bargain hunters resurfaced, while Chinese traders returned to the physical market after the Lunar New Year holiday.
Gold is expected to find support at 1597.62, and a fall through could take it to the next support level of 1579.79. Gold is expected to find its first resistance at 1633.89, and a rise through could take it to the next resistance level of 1652.33.
The yellow metal is showing convergence with its 20 Hr moving average and below its 50 Hr moving average.
