7 May 2015
Gold falls into losses
FXStreet (Mumbai) - Gold prices fell to a fresh session low of USD 1181.3/Oz levels, after having been rejected at the 50-DMA located at USD 1190.17 earlier today.
Gold: Drops despite dollar weakness
The drop in the metal contradicts the weakness in the USD index witnessed post the release of a weaker-than-expected US ADP employment report in the previous session. Even the uncertainty surrounding the general election in the UK failed to support Gold prices.
Moreover, the sharp rise in the benchmark bond yields across the Eurozone and in the US reduces the incentive to hold the yellow metal.
Gold Technical Levels
The immediate support is seen at 1178.5, under which losses could be extended to 1169.6. On the flip side, a break above 1190.17 (50-DMA), could drive the pair higher to 1199.5.
Gold: Drops despite dollar weakness
The drop in the metal contradicts the weakness in the USD index witnessed post the release of a weaker-than-expected US ADP employment report in the previous session. Even the uncertainty surrounding the general election in the UK failed to support Gold prices.
Moreover, the sharp rise in the benchmark bond yields across the Eurozone and in the US reduces the incentive to hold the yellow metal.
Gold Technical Levels
The immediate support is seen at 1178.5, under which losses could be extended to 1169.6. On the flip side, a break above 1190.17 (50-DMA), could drive the pair higher to 1199.5.