Back
5 Jan 2015
Gold gains on ‘Grexit fears’
FXStreet (Mumbai) - Gold prices rallied from one-month low on fears that Greece may exit the Eurozone if the anti-bailout party Syriza wins the snap elections scheduled on Jan. 25.
Gold currently trades 0.81% higher at USD 1196.10/Oz levels. The metal prices rose as the political turmoil in Greece overshadowed the rate hike speculation in the US. Moreover, the increased bets of “Grexit” and the high possibility of the European Central Bank (ECB) embarking on a sovereign bond purchase program continues to support the yellow metal.
However, the metal still trades below the USD 1200 mark, which it has failed to breach on a daily closing basis since mid-December 2014.
Gold Technical Levels
Gold has an immediate resistance located at 1200.00, above which gains could be extended to 1210.90 (Dec. 30 high). Meanwhile, support is seen at 1190.90 (50-DMA) and 1186.40 levels.
Gold currently trades 0.81% higher at USD 1196.10/Oz levels. The metal prices rose as the political turmoil in Greece overshadowed the rate hike speculation in the US. Moreover, the increased bets of “Grexit” and the high possibility of the European Central Bank (ECB) embarking on a sovereign bond purchase program continues to support the yellow metal.
However, the metal still trades below the USD 1200 mark, which it has failed to breach on a daily closing basis since mid-December 2014.
Gold Technical Levels
Gold has an immediate resistance located at 1200.00, above which gains could be extended to 1210.90 (Dec. 30 high). Meanwhile, support is seen at 1190.90 (50-DMA) and 1186.40 levels.