Gold slips after swiss referendum but recovers – MP

FXStreet (Barcelona) - Kenny Fisher, Currency Analyst at MarketPulse, notes that Gold took a hit as Swiss voters rejected the ‘Save our Gold’ referendum, causing the metal to drop sharply before recovering to post strong gains.

Key Quotes

“Gold prices sank in early in the Asian session, dropping to $1142 per ounce, a 3-week low. However, the metal reversed directions and has posted strong gains in the European session.”

“Although the metal managed to recover from the Swiss scare, with inflation remaining at weak levels and oil prices softening, we could see gold resume its downward trend.”

“XAU/USD lost ground in the Asian session but then recovered, breaking above resistance at 1156. The pair has posted strong gains in European trade.”

“1156 is the next support level.”

“1175 was tested as gold climbed sharply and remains under strong pressure. 1200 is stronger.”

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