The price of Gold extended its gains from previous days and broke its resistance at $1,279/ounce. The price then climbed all the way to $1,288.2/ounce which is the highest price in almost 3 months. We can see that markets are betting that Janet Yellen’s testimony will be dovish and traders are speculating that there will be a slower pace of tapering of the monetary stimulus. Some analysts are speculating that there wont just be a slower pace but about a complete pause of tapering which would cause the price to move up strongly. However, we saw that the actual unemployment rate was the lowest since 2008 so we do not expect any of these decisions to happen so the price might come back down later. The sentiment remains bearish with support at 1,271 and resistance at 1,291.
February 11, 2014 – Commodities News
Hot Asset For Today: Gold
The price of Gold extended its gains from previous days and broke its resistance at $1,279/ounce. The price then climbed all the way to $1,288.2/ounce which is the highest price in almost 3 months. We can see that markets are betting that Janet Yellen’s testimony will be dovish and traders are speculating that there will be a slower pace of tapering of the monetary stimulus. Some analysts are speculating that there wont just be a slower pace but about a complete pause of tapering which would cause the price to move up strongly. However, we saw that the actual unemployment rate was the lowest since 2008 so we do not expect any of these decisions to happen so the price might come back down later. The sentiment remains bearish with support at 1,271 and resistance at 1,291.
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