Yesterday, Gold broke through its resistance at $1,250/ounce and climbed up to $1,255/ounce. The price reacted to continuing speculation over the U.S. interest rate hike. The safe-haven asset would have increased further but the stock market made gains following positive third quarter results; the S&P 500 increased by almost 2%. Recovery in the equities market will cut demand for the metal and we could see the price fall back below $1,240/ounce if it continues.
The trend is sideways. Support is found at 1,235 and resistance at 1,258.
October 22, 2014 – Commodities News
Gold
Yesterday, Gold broke through its resistance at $1,250/ounce and climbed up to $1,255/ounce. The price reacted to continuing speculation over the U.S. interest rate hike. The safe-haven asset would have increased further but the stock market made gains following positive third quarter results; the S&P 500 increased by almost 2%. Recovery in the equities market will cut demand for the metal and we could see the price fall back below $1,240/ounce if it continues.
The trend is sideways. Support is found at 1,235 and resistance at 1,258.
Related Posts: