2 Feb 2015
Gold trades marginally weak
FXStreet (Mumbai) - Gold prices weakened on slight declined in risk aversion after the Greek PM Tsipras said Greece will repay debt to the international creditors.
Safe haven demand still in place
Despite a soft stance adopted by the newly elected government in Greece, uncertainty still looms as the ECB would discontinue lending to Greek banks if the country fails to reach extension of bailout deal by the end of February.
Meanwhile, the metal also found support after the data in China showed manufacturing PMI contracted in January for the first time since September 2012. Furthermore, limited risk appetite in equities and weakness in the US index cap losses in the yellow metal.
Gold Technical Levels
The metal currently trades 0.17% lower at USD 1277.20/Oz levels. The immediate resistance is seen at 1277.92 (hourly 100-SMA) and 1284.66 (hourly 200-SMA). On the flip side, support is seen at 1274, below which the metal may test 1269.20 (hourly 50-SMA) levels.
Safe haven demand still in place
Despite a soft stance adopted by the newly elected government in Greece, uncertainty still looms as the ECB would discontinue lending to Greek banks if the country fails to reach extension of bailout deal by the end of February.
Meanwhile, the metal also found support after the data in China showed manufacturing PMI contracted in January for the first time since September 2012. Furthermore, limited risk appetite in equities and weakness in the US index cap losses in the yellow metal.
Gold Technical Levels
The metal currently trades 0.17% lower at USD 1277.20/Oz levels. The immediate resistance is seen at 1277.92 (hourly 100-SMA) and 1284.66 (hourly 200-SMA). On the flip side, support is seen at 1274, below which the metal may test 1269.20 (hourly 50-SMA) levels.