16 Feb 2015
Gold fails to sustain above 50-DMA
FXStreet (Mumbai) - Gold prices on Comex extended gains from the previous session and edged higher in the European morning, notwithstanding the 50-DMA located at 1236.15 levels after posting a fresh daily high at 1236.40 levels.
Trades around 10-DMA
Currently, gold trades higher by 0.59% at 1234.20 levels, having previously posted fresh session highs at 1236.40 levels some time ago. Gold prices ticked higher as a persisting weak US dollar continued to boost appetite for the metal, which made the asset more attractive to buyers holding other currencies. The dollar index, a measure of the greenback's strength relative to major peers, fell to weekly lows of 93.98 and now trades at 94.08 levels, down -0.17% on the day.
Moreover, uncertainty surrounding Greece also support a safe-haven bid for gold, as it always gains in times of uncertainty. On the contrary, holdings in the SPDR Gold Trust, the world's biggest gold-backed exchange-traded fund, fell to 768.26 tonnes on Friday.
Gold Technical Levels
The metal has an immediate resistance at 1236.15 (50-DMA) and 1244 (200-DMA) levels. Meanwhile, support stands at 1226 (5-DMA) levels below which doors could open for 1215 (100-DMA) levels.
Trades around 10-DMA
Currently, gold trades higher by 0.59% at 1234.20 levels, having previously posted fresh session highs at 1236.40 levels some time ago. Gold prices ticked higher as a persisting weak US dollar continued to boost appetite for the metal, which made the asset more attractive to buyers holding other currencies. The dollar index, a measure of the greenback's strength relative to major peers, fell to weekly lows of 93.98 and now trades at 94.08 levels, down -0.17% on the day.
Moreover, uncertainty surrounding Greece also support a safe-haven bid for gold, as it always gains in times of uncertainty. On the contrary, holdings in the SPDR Gold Trust, the world's biggest gold-backed exchange-traded fund, fell to 768.26 tonnes on Friday.
Gold Technical Levels
The metal has an immediate resistance at 1236.15 (50-DMA) and 1244 (200-DMA) levels. Meanwhile, support stands at 1226 (5-DMA) levels below which doors could open for 1215 (100-DMA) levels.