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2 Jan 2015
Gold falls into the red
FXStreet (Mumbai) - Gold prices have erased gains to trade in the red tracking rise in the US dollar index and the rebound in the German manufacturing activity in December.
The yellow metal now trades 0.14% lower at USD 1182.40/Oz levels, after having eased off from the day’s high of USD 1188.30/Oz levels. The prices were driven lower as the US dollar index rose 0.43% to trade above 91.03 levels. Meanwhile, the data in Germany also showed the manufacturing activity rebounded to 51.2 in December from the 17-month low of 49.5 in November. The encouraging data out of Germany may have capped the safe haven demand for the metal.
However, the losses too, have been capped to a certain extent by the weakness in the European equity markets. The Germany’s Dax index traded 0.67% lower at 9740.30 levels, while the London’s Ftse traded 0.05% lower at 6563.00 levels at the time of writing.
Gold Technical Levels
Gold has an immediate support located at 1179.50, under which losses could be extended to 1170.70 levels. Meanwhile, resistance is seen at 1185.35 (10-DMA) and 1190.51 (50-DMA) levels.
The yellow metal now trades 0.14% lower at USD 1182.40/Oz levels, after having eased off from the day’s high of USD 1188.30/Oz levels. The prices were driven lower as the US dollar index rose 0.43% to trade above 91.03 levels. Meanwhile, the data in Germany also showed the manufacturing activity rebounded to 51.2 in December from the 17-month low of 49.5 in November. The encouraging data out of Germany may have capped the safe haven demand for the metal.
However, the losses too, have been capped to a certain extent by the weakness in the European equity markets. The Germany’s Dax index traded 0.67% lower at 9740.30 levels, while the London’s Ftse traded 0.05% lower at 6563.00 levels at the time of writing.
Gold Technical Levels
Gold has an immediate support located at 1179.50, under which losses could be extended to 1170.70 levels. Meanwhile, resistance is seen at 1185.35 (10-DMA) and 1190.51 (50-DMA) levels.