Gold Daily Update – Wednesday, 8 July 2009
Posted July 9, 2009on:
Gold opened at 919.50/920.50 in New York and traded lightly as the session got underway, finding support near 918.00. However, the metal later dropped as the US dollar rallied and oil prices tumbled, breaking below good support around 913.00. The selling continued, driving the metal to an intraday low of 904.40/905.40. It rebounded slightly from its lows on light buying to finally settle at 908.75/909.75.
Gold has fallen for the 5th day in a row on the 24 hour daily chart to current 908. We are closing below the previous June low of 913 which was also the 61.8% Fibo support. Price action is bearish with next Fibonacci support not seen until 76.4% level at 895, May low 881, and finally April low 865. Resistance is now seen at 913 and 921, the low on the last two days. The metal looks very weak at current levels.
Pivot – 915.37
Primary Support (Buy) – 898.90
Primary Resistance (Sell) – 925.65