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15 Apr 2015
Gold weakens as US dollar makes a comeback
FXStreet (Mumbai) - Gold prices dropped to a session low of USD 1188.6/Oz levels, as the USD was bid higher by the markets in the early European session.
Trades below 50-DMA
Gold fell below 50-DMA located at USD 1191.91 as the USD index recovered from the low of 98.92 to trade 0.44% higher at 99.45. The metal had recovered in the previous session from the low of USD 1183.7 after the release of a weaker-than-expected advance retail sales report in the US. The downward revision of the US growth forecasts by the IMF also helped the metal. Moreover, the USD index had declined sharply, thereby supporting yellow metal.
However, the recovery in the USD index recovered sharply, pushing gold prices lower from the high of USD 1194.9 from the low of USD 1188.6 levels.
Gold Technical Levels
The immediate resistance is seen at 1191.91 (50-DMA), above which gains could be extended to 1200 (5-DMA). On the flip side, a break below 1185.00 could drive the prices lower to 1178.5 (March 31 low).
Trades below 50-DMA
Gold fell below 50-DMA located at USD 1191.91 as the USD index recovered from the low of 98.92 to trade 0.44% higher at 99.45. The metal had recovered in the previous session from the low of USD 1183.7 after the release of a weaker-than-expected advance retail sales report in the US. The downward revision of the US growth forecasts by the IMF also helped the metal. Moreover, the USD index had declined sharply, thereby supporting yellow metal.
However, the recovery in the USD index recovered sharply, pushing gold prices lower from the high of USD 1194.9 from the low of USD 1188.6 levels.
Gold Technical Levels
The immediate resistance is seen at 1191.91 (50-DMA), above which gains could be extended to 1200 (5-DMA). On the flip side, a break below 1185.00 could drive the prices lower to 1178.5 (March 31 low).