Gold gave back $3.50 as traders booked profits after seeing gains over $25 on Wednesday as traders shifted views on interest rate increases in the US. Silver dipped 48 points to 17.173 and Platinum was flat at 1150.50.
Gold futures soared above $1200 per ounce amid a sharp surge in afternoon after the Eurozone GDP data provided good support to the Euro. Gold stayed supported yesterday, extending a recovery from lows near $1180 per ounce amid safe buying and supportive crude oil prices. The COMEX Gold futures are currently trading at $1203.30 per ounce, up 0.91%on the day. These are the highest levels in two weeks for the counter.
The results in the weekly net speculator positions was due to a decrease in the weekly bullish positions by 16824 contracts that combined with the weekly bearish positions that increased by 11993 contracts. Net speculative positions are now at the lowest level since March 24th when positions equaled 54281 contracts.
GOLD Technical Analysis Forecast
For a long time, we were talking about the importance of 1225 and middle term sellers are always active around this level. Yesterday and today, we saw that middle term sellers entered into the scene again.
The negative data from US for the last two days supported precious metals rises and GOLD got over 1225 and tested 1227.07. But closed the day below this level. Although bullish pressure seems more effective, we need more ticks above 1225 to get more bulls into. After that we can talk about 1245 – 1265 and 1290 levels. Otherwise there will be more bears acting in the scene.
For the shortest term, 1212 support is important for any upside movement. 1Hrs closes below 1212 will trigger sellers and 1204 – 1197 would be seen than. A couple of hours movement above 1212 will make GOLD test 1225 again. So 1212 level must be watched carefuly.
Pivot : 1207.20
RESISTANCE : 1227.10-1235.00-1245.00