26 May 2015
Gold retreats below $1,200
FXStreet (Edinburgh) - The troy ounce of the yellow metal is trading back in sub-$1,200 levels on Tuesday, printing fresh 2-week lows at the same time.
Gold punished by US dollar
Gold prices dropped further during the first half of the week following the persistent bid tone in the greenback. Furthermore, positive releases from today’s US docket gave extra legs to the USD rally, advancing to 3-week tops when measured by the US Dollar Index (DXY).
In fact, New Home Sales, the S&P/Case-Shiller housing index, Durable Goods Orders and Consumer Confidence all surpassed previous estimates today, helping investors to reaffirm the case for a Fed’s rate hike during this year.
Gold key levels
Gold is now losing 1.35% at $1,188.60 with the immediate support at $1,186 (low May 26) ahead of $1,177 (low May 4) and finally $1,168.50 (low Mar.20). On the other hand, a break above $1,225.76 (high May 19) would open the door to $1,228 (high May 14) and then $1,236.79 (high Feb.16).
Gold punished by US dollar
Gold prices dropped further during the first half of the week following the persistent bid tone in the greenback. Furthermore, positive releases from today’s US docket gave extra legs to the USD rally, advancing to 3-week tops when measured by the US Dollar Index (DXY).
In fact, New Home Sales, the S&P/Case-Shiller housing index, Durable Goods Orders and Consumer Confidence all surpassed previous estimates today, helping investors to reaffirm the case for a Fed’s rate hike during this year.
Gold key levels
Gold is now losing 1.35% at $1,188.60 with the immediate support at $1,186 (low May 26) ahead of $1,177 (low May 4) and finally $1,168.50 (low Mar.20). On the other hand, a break above $1,225.76 (high May 19) would open the door to $1,228 (high May 14) and then $1,236.79 (high Feb.16).