9 Mar 2015
Gold recovers from 3-month lows
FXStreet (Mumbai) - Gold prices rebounded from fresh three month lows reached in the previous session and advanced in the Asian session on a short covering rally after the massive US jobs data induced slump.
Gold holds above 1170 levels
Currently, gold trades 0.30% higher at 1170.60 levels, bouncing-off session lows at 1167.47 levels. Gold prices suffered its fifth weekly drop in the past six, as QE on EZ and a solid monthly US jobs report drove the US dollar to its strongest level in over a decade. Surprisingly strong US jobs data put the risk of a mid-year Fed hike back on the table, dent demand for non-interest-bearing yellow metal, dragging its prices lower.
Moreover, in signs of lack of investors’ confidence in gold, SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.59 percent to 756.32 tonnes on Friday.
Gold Technical Levels
The metal has an immediate resistance at 1174 (hourly 20-DMA) and 1180 levels. Meanwhile, support stands at 1167.47 (Today’s low) levels below which doors could open for 1163 (March 6 Low) levels.
Gold holds above 1170 levels
Currently, gold trades 0.30% higher at 1170.60 levels, bouncing-off session lows at 1167.47 levels. Gold prices suffered its fifth weekly drop in the past six, as QE on EZ and a solid monthly US jobs report drove the US dollar to its strongest level in over a decade. Surprisingly strong US jobs data put the risk of a mid-year Fed hike back on the table, dent demand for non-interest-bearing yellow metal, dragging its prices lower.
Moreover, in signs of lack of investors’ confidence in gold, SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.59 percent to 756.32 tonnes on Friday.
Gold Technical Levels
The metal has an immediate resistance at 1174 (hourly 20-DMA) and 1180 levels. Meanwhile, support stands at 1167.47 (Today’s low) levels below which doors could open for 1163 (March 6 Low) levels.