Gold Movement
Gold prices traded lower by 0.16% against the USD in the 24 hour period ending 23:00GMT, at 1316.60 per ounce, amid media reports showing that Chinese officials have uncovered $15.2 billion worth of loans tied to potentially illegal gold financing deals in the nation. Gold prices also came under pressure after a separate data from China, the world’s largest consumer of gold, revealed that gold imports to the nation from Hong Kong dropped 17.0% to 67.233 tonnes in May, the lowest level since January last year. Additionally, data from the US showed that consumer spending rose less than expected in May while jobless claims in the nation fell again last week.
In the Asian session, at GMT0300, Gold is trading at 1318.10, 0.11% higher from yesterday’s close.
Gold is expected to find support at 1310.17, and a fall through could take it to the next support level of 1302.23. Gold is expected to find its first resistance at 1322.67, and a rise through could take it to the next resistance level of 1327.23.
The yellow metal is showing convergence with its 20 Hr and 50 Hr moving averages.
