Gold Movement
Gold prices traded lower by 0.87% against the USD in the 24 hour period ending 23:00GMT, at 1293.20 per ounce, and dropped below the $1,300 threshold amid a stronger US Dollar following upbeat economic data from the US. Data from the US indicated that people applying for unemployment benefits declined to the lowest level since February 2006, last week. Meanwhile, a leading broker projected gold prices to fall to $1,050 by the end of 2014.
In the Asian session, at GMT0300, Gold is trading at 1293, marginally lower from yesterday’s close.
Gold is expected to find support at 1286.43, and a fall through could take it to the next support level of 1279.87. Gold is expected to find its first resistance at 1300.63, and a rise through could take it to the next resistance level of 1308.27.
The yellow metal is showing convergence with its 20 Hr moving average and is trading below its 50 Hr moving average.
