26 Jun 2015
Gold snaps four day losing streak
FXStreet (Mumbai) - Gold prices rose for the first time this week to hit a session high of USD 1178.7/Oz levels on signs of broad based USD weakness and risk aversion in the major European stocks.
Gold supported by risk aversion
The metal ticked higher as the major European stock markets suffered losses. The German Dax fell 0.60% , while the London’s Ftse dropped 1%. The negative action in the European stocks also weighed over the US stock index futures. Consequently, the safe haven demand for the yellow metal spiked.
Meanwhile, the USD index fell from the daily high of 95.52 to trade at 95.34 levels. The drop in the USD index further supported gains in the yellow metal.
Gold Technical Levels
The immediate resistance is seen at 1179.8, above which gains could be extended to 1186.03 (hourly 200-MA). On the flip side, a break below 1175 could see the metal target 1170.3.
Gold supported by risk aversion
The metal ticked higher as the major European stock markets suffered losses. The German Dax fell 0.60% , while the London’s Ftse dropped 1%. The negative action in the European stocks also weighed over the US stock index futures. Consequently, the safe haven demand for the yellow metal spiked.
Meanwhile, the USD index fell from the daily high of 95.52 to trade at 95.34 levels. The drop in the USD index further supported gains in the yellow metal.
Gold Technical Levels
The immediate resistance is seen at 1179.8, above which gains could be extended to 1186.03 (hourly 200-MA). On the flip side, a break below 1175 could see the metal target 1170.3.