Gold Movement
Gold prices traded higher by 0.85% against the USD in the 24 hour period ending 23:00GMT, at 1247.20 per ounce, amid a broad weakening in the greenback. Gold prices were further supported after the demand outlook of gold improved on the back of festival and wedding season in India, the largest gold buyer after China. The All India Gems & Jewellery Trade Federation projected the fourth-quarter imports of the metal to register a 75% jump in India.
Yesterday, the holdings in the SPDR Gold Trust declined by the most in 12 months to 751.96 metric tons, as investors did not prefer to invest in the safe haven yellow metal,, even after the gold prices rebounded.
In the Asian session, at GMT0300, the pair is trading at 1246.40, with the gold trading 0.06% lower from yesterday’s close.
The pair is expected to find support at 1238.36, and a fall through could take it to the next support level of 1230.33. The pair is expected to find its first resistance at 1251.86, and a rise through could take it to the next resistance level of 1257.33.
The yellow metal is showing convergence with its 20 Hr moving average and trading above its 50 Hr moving average.
