Posted: 15 Jun 2014 10:07 PM PDT

Spot Gold: Challenging the upper downtrend channel |

Good day traders!

Gold Daily 16 jun 2014

Technically, the yellow metal is in a short term bullish trend with the nearest resistance come in the form of down trend channel. Breaking this channel, there'll be another resistance level at 1292 and the psycho level 1300. More resistances can be seen at 1315 and 1331. Daily RSI is pointing up suggesting more bullish in favour.

Adding to the Russian and Ukraine crisis, fundamentally there's another crisis going on in Iraq. This will lead to another commodity that is very much effected during crisis; oil.

And I believe you guys already knew that gold's outside factor is USD Index and Oil.

Else, FOMC meeting is scheduled this Thursday. This would be very much crucial as good news from the States would bring a halt in the gold's bulls run. Have a peep at stocks and bonds. That would give you some ideas.

Happy pipping!

Shufaad

Membership Software

<b>Spot Gold</b>: Still in a bear channel | - MelakaFx

Posted: 08 Jun 2014 02:01 AM PDT

Spot Gold: Still in a bear channel | Trade Spot Gold and Forex for a Living

Good day traders!

Gold Daily 8 Jun 2014

The ECB's rate cut and then Draghi's speech managed to push the yellow metal $10 higher from the daily open price on Thursday. But on Friday, the much anticipated NFP and unemployment rate failed to move the gold price anywhere far from it's yesterday's close.

A long legged doji was formed on the daily chart – signalling buying pressure. Buyers are very much camped at the $1240 support level. This is shown by the low of the candles before the ECB's rate news.

A bear channel was formed, with the 200 SMA and the upper trendline act as a dynamic-duo resistance level. Strong resistance level is found at 1277, where a break there would open up more movement towards psycho level 1300.

Else, price need to break the 1240 support level before any downside move can be confirm.

Happy pipping!

Shufaad

Membership Software

Why the <b>Gold Spot</b> Price Is Hovering So Low - Money Morning

Posted: 04 Jun 2014 11:33 AM PDT

The gold spot price, after hitting a 2014 high of $1,383 in March, just tumbled to its lowest level in four months.

Gold fell last week to $1,243. That brings it close to where it started the year, at $1,221.

The gold spot price climbed for the first two and a half months of 2014, hitting a peak of $1,383 on March 14. After the high, the last half of March saw the gold spot price slip again. Prices started to steady in April, then shot up in May to $1,310 before falling to last week's low.

This week, spot gold has remained close to last week's low. It was quoted at $1,247.75 on Wednesday morning.

So after a nice gold price climb at 2014's start, what's weighing on the yellow metal now?

Money Morning Resource Specialist Peter Krauth gave us the story.

Gold Spot Price Getting Hit from Three Factors

Krauth is a 20-year veteran of the commodities markets. He's been uncovering the best profit plays in precious metals in his Real Asset Returns investment servicefor more than three years.

He sat down with us to explain what's affecting the gold spot price now.

"There are multiple forces acting to weigh on gold right now," Krauth said.

"First is a somewhat strengthening U.S. Dollar Index. Keep in mind this index's makeup is 57% euro. And right now, the euro is weakening because it's widely expected the European Central Bank will soon take measures to weaken its currency. That will, in turn, strengthen the U.S. dollar, which we are seeing as priced in currently. A stronger dollar weighs on gold, as it is priced in dollars."

The second factor weighing down gold spot price right now, said Krauth, is demand.

"The World Gold Council recently reported that Q1 2014 demand was stable at 1,074 tonnes versus 1,077 tonnes in Q1 2013. However, Bloomberg recently reported that April imports to China from Hong Kong were down to 65.4 tonnes versus 80.6 tonnes in March and 75.9 a year ago. It's thought that Chinese consumers have slowed their buying somewhat due to higher prices than last year. The country's overall gold demand was down 18% in Q1 over last year."

"And third," continued Krauth, "we've got technical trading and sentiment. The $1,280 support level was breached to the downside, which encourages traders to short the metal while fostering negative sentiment. The next support level appears to be $1,240, and then around the $1,200 level."

Looking forward, there are events scheduled for this week that you can bet will shape the yellow metal...

Thursday will bring the monthly monetary policy meeting of the European Central Bank, which Krauth discussed above as a possible drag on the gold spot price.

And Friday brings the U.S. Labor Department employment report for May. The early forecast is for non-farm payrolls to have increased 215,000 in the report, according to Forbes. A strong U.S. economic report could lead to a stronger U.S. dollar - and the stronger the dollar, the more of a drag on the gold spot price.

While some traders may try to short the yellow metal as the gold spot price and gold futures slip, Krauth disagreed with that method.

"There seems to be too little downside and clarity of direction to short gold now. And increasing inflation expectations could help to underpin the price and provide new support."

No matter how gold prices finish out this week, the case for owning gold has never been clearer. Here's why - plus a two-part "cheat sheet" that will help you figure out the right amount of gold for your portfolio...

Related Articles:

Forbes: P.M. Kitco Roundup: Gold Ends Near Steady on Chart Consolidation; Key Data Awaited

Spot Gold | Spot Gold: Challenging the upper downtrend channel | - MelakaFx | News2Gold

Spot Gold | <b>Spot Gold</b>: Challenging the upper downtrend channel | - MelakaFx | News2Gold

Gold Spot Price Getting Hit from Three Factors

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