Gold Marketwatch – Wednesday 17/6/2009
Posted June 17, 2009on:
Gold opened at 937.50/938.50 in New York. It was well bid as the session began and it quickly peaked at 939.50/940.50. The dollar gathered momentum on the back of better than expected housing starts and gold lost ground, finding support near 933.00. It recovered after the London fix as investor demand carried it higher, however this move was not sustained as dealers later took profit. The dollar continued to rally and equity markets retreated causing the metal to slump, dipping to an intraday low of 929.80/930.80. It traded sideways as the day unwound, closing at 931.25/932.25.
Gold held the 100 day moving average (925.60), which will continue to act as support in the near term. The overall trend still favours a push lower, and a breach of the this support will yield a measured move towards the 918.55 (April 27th high), followed quickly by the psychological 900 level. Resistance remains 939.
Pivot – 933.52
Primary Support (Buy) – 927.30
Primary Resistance (Sell) – 941.23