27 Jan 2015
Gold recovers losses
FXStreet (Mumbai) - Gold prices recovered losses seen in the Asian session after the economist of the newly elected Syriza party in Greek general elections, said Greek debt is unsustainable and not ‘realistic’ to repay.
The yellow metal now trades 0.24% higher at USD 1283.50/Oz levels, after having recovered from the low of USD 1273.30/Oz levels. The metal recovered as markets weigh in the possibility of renewed concerns regarding Greece honoring its commitment to troika after Syriza's chief economics spokesman Euclid Tsakalotos said, “nobody believes that the Greek debt is sustainable.” He further said that it would be a worst nightmare if the Grexit leads to collapse of the Eurozone and put the onus of such an event on the very policies of the austerity measures.
The concerns are also evident from the weakness in the European index futures. The Dax futures are down 0.31%, while the Cac is down 0.12%. The metal also finds support from the USD index, which trades 0.11% lower at 95.18 levels.
Gold Technical Levels
The immediate support is seen at 1280.78 (hourly 200-SMA), under which the metal could re-test 1275.6 levels. Meanwhile, resistance is seen at 1287.1 and 1294 levels.
The yellow metal now trades 0.24% higher at USD 1283.50/Oz levels, after having recovered from the low of USD 1273.30/Oz levels. The metal recovered as markets weigh in the possibility of renewed concerns regarding Greece honoring its commitment to troika after Syriza's chief economics spokesman Euclid Tsakalotos said, “nobody believes that the Greek debt is sustainable.” He further said that it would be a worst nightmare if the Grexit leads to collapse of the Eurozone and put the onus of such an event on the very policies of the austerity measures.
The concerns are also evident from the weakness in the European index futures. The Dax futures are down 0.31%, while the Cac is down 0.12%. The metal also finds support from the USD index, which trades 0.11% lower at 95.18 levels.
Gold Technical Levels
The immediate support is seen at 1280.78 (hourly 200-SMA), under which the metal could re-test 1275.6 levels. Meanwhile, resistance is seen at 1287.1 and 1294 levels.