Gold Daily Update – Tuesday 11 Aug 2009
Posted August 12, 2009on:
Gold opened at 947.25/948.25 and was well bid as the session began, peaking at 949.75/950.75. However this move quickly reversed as oil tumbled, equity markets slumped and the dollar rallied. Gold retreated to an intraday low 941.50/942.50 before making back lost ground. The dollar gave back ground helping the metal climb during much of the afternoon, finally settling at 945.25/946.25.
Gold weakened again today, but still resists the urge to collapse through the 50- day coming in at $941.00. This support continues to be reinforced by the 38.2% Fibonacci retracement level we pointed to yesterday. Marginally past that point lies one month uptrend support at $938.63. The market tone for the metal remains soft, and only a move above yesterday’s intraday high would reverse the psychology of the price action.
Pivot – 948.34
Primary Support (Buy) – 939.70
Primary Resistance (Sell) – 954.40