19 Feb 2015
Gold falls below 100-DMA after upbeat US data
FXStreet (Mumbai) - Gold prices fell from the daily high of USD 1223.1/OZ levels to trade below the 100-DMA located at USD 1213.69 levels after the data in the US showed jobless claims decreased more than forecast last week.
Strong USD weighs over Gold
The USD index rose to a high of 95.52 after the labor department data in the US showed the initial jobless claims in the last week fell 21K to 283K, compared to the estimate of 290K, and down from the previous figure of 304K. The four-week moving average, a less volatile measure than the weekly figures, dropped to 283,250 last week, a three-month low, from 289,750.
Meanwhile, Greek concerns and the nervousness seen in the US stocks could support the yellow metal. At the time of writing, the DJIA index traded 0.44% or 78.85 points lower at 17,951 levels. The 10-year Treasury yield also finds itself stuck at 2.9% despite upbeat US data.
Gold Technical Levels
At the moment, the metal is trading 0.92% lower at USD 1211.30/Oz levels. The immediate resistance is seen at 1213.69 (100-DMA), above which gains could be extended to 1219.6 (50% retracement of 1131.9-1307.8). On the flip side, a break below 1203.4 could push the pair down to 1198.8 (61.8% retracement of 1131.9-1307.8).
Strong USD weighs over Gold
The USD index rose to a high of 95.52 after the labor department data in the US showed the initial jobless claims in the last week fell 21K to 283K, compared to the estimate of 290K, and down from the previous figure of 304K. The four-week moving average, a less volatile measure than the weekly figures, dropped to 283,250 last week, a three-month low, from 289,750.
Meanwhile, Greek concerns and the nervousness seen in the US stocks could support the yellow metal. At the time of writing, the DJIA index traded 0.44% or 78.85 points lower at 17,951 levels. The 10-year Treasury yield also finds itself stuck at 2.9% despite upbeat US data.
Gold Technical Levels
At the moment, the metal is trading 0.92% lower at USD 1211.30/Oz levels. The immediate resistance is seen at 1213.69 (100-DMA), above which gains could be extended to 1219.6 (50% retracement of 1131.9-1307.8). On the flip side, a break below 1203.4 could push the pair down to 1198.8 (61.8% retracement of 1131.9-1307.8).