18 Dec 2014
Gold climbs 1% on Fed’s patient approach on tightening
FXStreet (Mumbai) - Gold prices on Comex trades extended gains and climbed higher today, as markets digested the Fed’s changed language which mentioned the word “patient”.
Currently, gold prices trades at USD 1209/Oz, higher 1.22% on the day, after having hit day’s low of 1189.30 levels. Gold prices added gains as Fed pledged to take a patient stance before the start of policy tightening. Fed Chair Janet Yellen said the Fed was unlikely to hike rates for "at least a couple of meetings", which meant not before H1 2015.
The precious metal also remained supported as the US dollar index, which measures the greenback against a basket of six major currencies, dropped to trade at 89.23 levels, down -0.10%, on the day.
Gold Technical Levels
The metal has an immediate resistance at 1215 (Dec 3 High), above which gains could be extended to 1223.90 (Dec 16 High) levels. Meanwhile, support stands at 1205.27 (100-day SMA), below which doors could open for 1201.26 (5-day SMA) levels.
Currently, gold prices trades at USD 1209/Oz, higher 1.22% on the day, after having hit day’s low of 1189.30 levels. Gold prices added gains as Fed pledged to take a patient stance before the start of policy tightening. Fed Chair Janet Yellen said the Fed was unlikely to hike rates for "at least a couple of meetings", which meant not before H1 2015.
The precious metal also remained supported as the US dollar index, which measures the greenback against a basket of six major currencies, dropped to trade at 89.23 levels, down -0.10%, on the day.
Gold Technical Levels
The metal has an immediate resistance at 1215 (Dec 3 High), above which gains could be extended to 1223.90 (Dec 16 High) levels. Meanwhile, support stands at 1205.27 (100-day SMA), below which doors could open for 1201.26 (5-day SMA) levels.