GCI Forex News - Gold: Trading flat after yesterday’s gain

Gold Movement

Gold prices traded higher by 0.66% against the USD in the 24 hour period ending 23:00GMT, at 1614.85 per ounce, as weak economic data from the US sparked fresh speculation that the Federal Reserve might turn to fresh stimulus measures in the near future to shore up growth.

Meanwhile, the World Gold Council reported that the demand for Gold fell 7% from a year ago to 990 tonnes in the April-June quarter, making it lowest level in more than two years amid drop in buying from major consumers, India and China.

In the Asian session, at GMT0300, Gold is trading at 1615.10, flat from yesterday’s close.

Gold is expected to find support at 1604.47, and a fall through could take it to the next support level of 1593.83. Gold is expected to find its first resistance at 1622.27, and a rise through could take it to the next resistance level of 1629.43.

The yellow metal is trading above its 20 Hr and 50 Hr moving averages.