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16 Dec 2014
Gold back above 50-DMA ahead of European session
FXStreet (Mumbai) - Gold prices recovered from the early slump to trade above the 50-DMA located at 1196.98 levels despite positive action in the major European equity futures.
Gold now trades 0.76% lower at USD 1198.50/Oz levels, up from the low of USD 1192.80/Oz hit earlier today. The Asian equities suffered losses tracking overnight weakness on the Wall Street. However, the major European index futures point to a positive opening today. The Dax futures are up 0.19%, while the CAC futures are up 0.16%. The Ftse index is also trading 0.35% higher at the time of writing. Meanwhile, the US dollar index is trading marginally lower at 88.59 levels.
The yellow metal may gain strength if the European equities fail to capitalize on appositive opening and fall into the red. However, expectations of Federal Reserve hinting at a sooner-than-expected interest rate hike is likely to cap gains.
Gold Technical Levels
Gold has an immediate support located at 1196.98 (50-DMA), under which prices may fall to 1192.80 levels. Meanwhile, resistance is seen at 1208.20 and 1211 (10-DMA) levels.
Gold now trades 0.76% lower at USD 1198.50/Oz levels, up from the low of USD 1192.80/Oz hit earlier today. The Asian equities suffered losses tracking overnight weakness on the Wall Street. However, the major European index futures point to a positive opening today. The Dax futures are up 0.19%, while the CAC futures are up 0.16%. The Ftse index is also trading 0.35% higher at the time of writing. Meanwhile, the US dollar index is trading marginally lower at 88.59 levels.
The yellow metal may gain strength if the European equities fail to capitalize on appositive opening and fall into the red. However, expectations of Federal Reserve hinting at a sooner-than-expected interest rate hike is likely to cap gains.
Gold Technical Levels
Gold has an immediate support located at 1196.98 (50-DMA), under which prices may fall to 1192.80 levels. Meanwhile, resistance is seen at 1208.20 and 1211 (10-DMA) levels.