18 Feb 2015
Gold struggles below 100-DMA as markets brace up for hawkish Fed minutes
FXStreet (Mumbai) - Gold prices trade at USD 1210/Oz levels, after having fell below the 100-DMA located at USD 1213.82 in the previous session.
Gold declines as Treasury yields rise
Prices declined in line with the sharp rise in the US Treasury yields in anticipation of hawkish Federal Reserve minutes due for release later today in the US session. The 10-year Treasury yield in the US gained as much as 10 basis points intraday in the previous session. The yield currently trades at 2.122%; down 2.1 basis points. Consequently, Gold too, has recovered from the low of USD 1206.2 levels.
The yellow metal also suffered losses on rumors that Greece is considering applying for an extension of the deal, which could erase whatever little safe haven demand the yellow metal saw in the last few days.
Gold Technical Levels
The immediate resistance is seen at 1213.82 (100-DMA) and 1219.6 (50% retracement of 1131.9-1307.8) levels. On the flip side, a break below 1198.9 (61.8% retracement of 1131.9-1307.8) could push the pair down to 1186.3 (Dec. 5th low).
Gold declines as Treasury yields rise
Prices declined in line with the sharp rise in the US Treasury yields in anticipation of hawkish Federal Reserve minutes due for release later today in the US session. The 10-year Treasury yield in the US gained as much as 10 basis points intraday in the previous session. The yield currently trades at 2.122%; down 2.1 basis points. Consequently, Gold too, has recovered from the low of USD 1206.2 levels.
The yellow metal also suffered losses on rumors that Greece is considering applying for an extension of the deal, which could erase whatever little safe haven demand the yellow metal saw in the last few days.
Gold Technical Levels
The immediate resistance is seen at 1213.82 (100-DMA) and 1219.6 (50% retracement of 1131.9-1307.8) levels. On the flip side, a break below 1198.9 (61.8% retracement of 1131.9-1307.8) could push the pair down to 1186.3 (Dec. 5th low).