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1 Apr 2015
Gold turns negative
FXStreet (Mumbai) - Gold prices fell into losses as the US dollar made a strong comeback during the European session.
Strong USD weighs
The USD index recovered from the low of 98.30 to trade at 98.87 levels, as the EUR/USD pair and the GBP/USD fell sharply. Despite the upbeat PMU numbers in the Eurozone and the UK, their respective currencies weakened against the USD. Consequently, a strong USD led to weakness in Gold prices.
Meanwhile, the major European equities rallied, contradicting the early indications given by the futures before the opening bell. The uptick in the equities further weighed over the yellow metal.
Gold Technical Levels
At the moment, the metal is trading 0.08% lower at USD 1182.20/Oz. The immediate support is seen at 1178.5, under which losses could be extended to 1170.00 levels. On the flip side, a break above 1189-1191 (5-DMA and 10-DMA), could drive the prices higher to 1200.25 (50-DMA).
Strong USD weighs
The USD index recovered from the low of 98.30 to trade at 98.87 levels, as the EUR/USD pair and the GBP/USD fell sharply. Despite the upbeat PMU numbers in the Eurozone and the UK, their respective currencies weakened against the USD. Consequently, a strong USD led to weakness in Gold prices.
Meanwhile, the major European equities rallied, contradicting the early indications given by the futures before the opening bell. The uptick in the equities further weighed over the yellow metal.
Gold Technical Levels
At the moment, the metal is trading 0.08% lower at USD 1182.20/Oz. The immediate support is seen at 1178.5, under which losses could be extended to 1170.00 levels. On the flip side, a break above 1189-1191 (5-DMA and 10-DMA), could drive the prices higher to 1200.25 (50-DMA).