Gold Daily Update – Friday 21 August 2009
Posted August 23, 2009on:
Heavy buying swept gold higher before the NY session began, opening at 945.50/946.50. The metal remained well bid during the early morning, peaking at 958.00/959.00. Profit taking took it lower, finding support near 950.00. Better than expected existing home sales caused equity markets to spike and gold quickly climbed. Resistance was found near 955.00 and it became range bound for the rest of the day, finally settling at 952.75/953.75.
Gold is closing the week on a positive note at current 953. The unit tried the down side early this week but found good support near 931. Top side resistance is found at 960 from the high of last week followed by August high 971. Big picture on the Weekly Chart, the unit continues to trade deeper into a consolidation triangle that has lines currently at 927 and 978 (drawn off former major lows and highs). Until we break either side of this triangle, it is hard to get excited about any larger directional move.
Pivot – 949.80
Primary Support (Buy) – 941.55
Primary Resistance (Sell) – 961.75