Gold Movement
Gold prices slumped by 2.34% against the USD in the 24 hour period ending 23:00GMT, at 1567.68 per ounce, after the rumors that a large commodity hedge fund had been forced to liquidate its commodity holdings. Moreover, prices were further pressured after minutes of the Federal Reserve’s latest meeting showed that the US central bank may have to slow or stop buying assets before an improvement in the job market.
In the Asian session, at GMT0400, Gold is trading at 1560.35, 0.47% lower from yesterday’s close.
Gold is expected to find support at 1540.92, and a fall through could take it to the next support level of 1521.49. Gold is expected to find its first resistance at 1594.41, and a rise through could take it to the next resistance level of 1628.47.
The yellow metal is trading below its 20 Hr and 50 Hr moving averages.
