Gold drops as dollar rallies

14 December, 2015

Gold prices dipped in Europe as the uptick in the treasury yields ahead of the FOMC meeting pushed the Greenback higher across the board. 

Dips below 5-WMA

Prices turned lower from the high of USD 1077.54 and fell below the 5-WMA located at USD 1072.52 levels. The European equity markets rallied and reduced the haven demand for the metal. Meanwhile, the USD index gained 0.30% to trade few points away from 98.00 levels. 

Both the factors ensured the yellow metal fell to a session low of USD 1065.30. Ahead in the day, the metal traders could continue to track the USD index as the data docket is empty. 

Gold Technical Levels

At USD 1067.50/Oz, the immediate resistance is seen at 1072.51 (5-WMA), above which the gains could be extended to 1079.67 (Friday’s high). On the other hand, a break below 1062.20 (Friday’s low) would open doors for a drop to 1052.20 (Nov 27 low). 


Source link  
Oil rebounds, set for third straight weekly rise

Oil benchmarks on both sides of Atlantic resumed its upward trajectory on Friday, reversing a temporary slide seen the day earlier and remain poised to book third straight week of gains...

Oil prices wobble as output freeze is viewed with skepticism

Oil prices recovered losses seen in early Europe, but gains are hard to come as markets believe next Sunday’s output freeze meeting in Doha is unlikely to help address supply glut issue...

Gold struggles to take out 5-DMA hurdle

Having ended on a weaker note on Friday despite broad based USD selling, Gold is having a tough time breaching 5-DMA hurdle at $1259.36 levels...


Buy the dips in USD towards 96.50/96.00

With that shift in the Fed’s tenor the USD should begin to benefit from a likely continued trend of more positive data surprises, our US data surprise index still some distance from hitting levels that warn a reversal is imminent...

European stocks rise in early trading

European equities advanced in early trading even though investors in Asia shied away from risk due to losses in commodities and Chinese equity markets...

Gold jumps above 1% on China rate cut

Currently, gold trades 1.18% higher at 1234.80, retreating slightly from fresh session highs printed at 1236.10 some minutes ago. The precious metal jumped nearly $ 4 after the Chinese central bank slashed the RRR by 0.5% in a bid to stimulate economic growth, which would in turn lift the demand for the bullion...


Brexit: Major blow to Cameron bid to remain in EU

While sterling may garner a little solace from any pre-EU remarks from Carney today, in view of the real risk that the UK could vote to leave the EU in June, we have pushed up our 1 mth EUR/GBP forecasts to 0.79...

USD positioning remains constructive

Leveraged funds reduced their net long USD positions by USD1.5bn to USD22.6bn in the week ended 2 February, reversing the gain in the previous week...

GBP could gain from BOE message

Research Team at BNP Paribas, notes that the UK data has outperformed this week, with both manufacturing and non-manufacturing PMIs improving in contrast to weakening elsewhere...

  


Share: