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Okay, good morning. David Frank, Chief Analyst at Ava FX, today. We’re going to be talking
a little bit about gold today, going to look at some of the technical levels we all should
be aware of, and also talk about why gold has possibly been trading within a very broad
range as of late. Okay, I pulled up a gold daily chart for us
to look at. As you can see, gold has been trading in a very broad range from 1550 to
1625 I would say since mid-May. If you look around about here about the beginning of June
to mid-May, gold has been stuck in a very broad range, as I said, 1550 to 1625. As of
right now, gold is continuing to consolidate just below the resistance here at 1588, at
about here. You can see that resistance level. Should gold actually move higher, we could
test the resistance up at around 1605, which is in this area right around here. You can
see the pivot point just about right in here. Alternatively, should gold fall lower, short-term
support right now is laying at around 1574.53, which is just right around in here, this level
right about here. And below that lies the key level of 1561.05,
right around in this area right around here. It’s a very key pivot point. Should we fall
below that, then we can test down lower around 1532.45 support, then below that even lower
to 1522.50. Gold has been trading in range, waiting to see whether or not Bernanke and
the United States Federal Reserve could enact kiwi too, whether or not China’s going to
implement using policies to spur their economy along.
Until we get some direction, looks like gold’s going to be trading a little bit sideways.
However, anything could happen between now and tomorrow, and any move can cause this
commodity to go either way. Keep checking back repeatedly here at FX Insights for your
latest news in Forex and commodities. Tomorrow we’ll come back again with another analysis.
Again, if you have any thoughts or questions or anything you want to see, please give me
some comments, some feedback where you can enter comments just below on this page. Have
any questions to ask? I will answer them as fast as I can. And as always, have a great
day trading. Good luck.