Near Term Tightening Range Seen in Gold
Tweet Send to a Friend
The spot price of gold tapped a high of $1607 overnight but failed to hold above $1600/oz for very long. Gold has very strong support at $1550 and $1530, say traders, and the most likely near term outcome is a tightening range pattern pending a significant breakout on either side.
Gold prices were trading upwards of $1640/oz last week, but sold off late in the week after comments from Fed officials offered no clear path toward further quantitative easing. Gold is also suffering due to dollar strength, as investors around the globe view it as a relative safe haven compared to the Euro and emerging market currencies.
Gold might get a catalyst this week as Fed officials provide clarity to questions surrounding QE. The gold ETF, SPDR Gold Shares (NYSE: GLD), is expected to open flat to slightly lower on Monday at 154.66 compared to a previous close of 154.73.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
Gold prices were trading upwards of $1640/oz last week, but sold off late in the week after comments from Fed officials offered no clear path toward further quantitative easing. Gold is also suffering due to dollar strength, as investors around the globe view it as a relative safe haven compared to the Euro and emerging market currencies.
Gold might get a catalyst this week as Fed officials provide clarity to questions surrounding QE. The gold ETF, SPDR Gold Shares (NYSE: GLD), is expected to open flat to slightly lower on Monday at 154.66 compared to a previous close of 154.73.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
You May Also Be Interested In
- Gold (GLD) Goes Crazy; Trades Up Despite Fed Speak
- Number of FOMC Members Willing to Taper as Early as June Meeting
- GLD Holdings Continue to Decline (GLD) (SLV) (GDX)
Create E-mail Alert Related Categories
Commodities, ETFs
Login with Facebook
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
