Gold Slips Below Key Level
MarketPulse | Feb 23, 2015 10:09AM ET
Gold has started the week with slight losses, as the metal is trading at a spot price of $1195.95 on Monday. On the release front, today’s sole event is US Existing Home Sales, with an estimate of 5.03 million.
The Greek bailout saga continues, as Greece and its creditors try to find some common ground on a bailout extension. Greece was granted a four-month extension on Friday, provided that the country could provide a list of “reform commitments” showing that Greece would continue to reform its economy. Greece’s creditors will review the proposals on Tuesday before giving their approval to the extension. Even if this occurs, the extension is a stop-gap measure and the bailout crisis is far from over.
Key US indicators painted a mixed picture on Thursday. Unemployment Claims rebounded strongly with a sharp drop of 283 thousand, compared to 304 thousand a week earlier. This easily beat the estimate of 293 thousand. The news was not as good from the Philly Fed Manufacturing Index, which slipped to 5.2 points, down from 5.3 points and a third straight drop. The markets had expected a reading of 8.8 points.
XAU/USD for Monday, February 23, 2015
- XAU/USD 1195.95 H: 1204.95 L: 1191.00
XAU/USD Technicals
| S3 | S2 | S1 | R1 | R2 | R3 |
| 1131 | 1154 | 1175 | 1200 | 1215 | 1240 |
- XAU/USD was flat in the Asian session. The pair dipped lower in European trade, breaking below support at 1200.
- 1200 has switched to a resistance role and is a weak line. 1215 is next.
- 1175 is an immediate support level.
- Current range: 1175 to 1200
Further levels in both directions:
- Below: 1175, 1154 and 1131 and 1111
- Above: 1200, 1215, 1240, 1255 and 1275
OANDA’s Open Positions Ratio
XAU/USD ratio is almost unchanged on Monday. This is not consistent with the pair’s movement, as gold has started the week with losses. The ratio has a majority of long positions, indicating trader bias towards gold reversing direction and moving to higher ground.
Get The News You Want
XAU/USD Fundamentals
- 15:00 US Existing Home Sales. Estimate 5.03M.
*Key releases are highlighted in bold
*All release times are GMT
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.