Gold Daily Update – Wednesday 26 August 2009
Posted August 27, 2009on:
Gold opened at 944.75/945.75 in New York. Good buying carried the metal higher, peaking at 949.25/950.25. However this rally could not be sustained as the metal retreated, following a weaker dollar, slipping to an intraday low of 939.50/940.50. Better than expected housing sales helped equities climb and gold made back lost ground. Resistance was established near 945.00 and it trade erratically within a range, finally settling at 944.25/945.25.
Gold is closing right where it closed yesterday at current 945. In Japanese candle sticks this is known as a Doji with both bulls and bears indecisive on the direction. The shrinking ranges are often warnings of a pending break out but the question of “when” is still a mystery. The lower tops in August of 971, 960 and 957 signal that the market is a bit tired but we will need to break 930 to bring in the sellers.
Pivot – 946.90
Primary Support (Buy) – 939.17
Primary Resistance (Sell) – 953.42