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11 May 2015
Gold trades flat
FXStreet (Mumbai) - Gold prices trade more or less unchanged on the day at USD 1189.90/Oz, after having recovered from the low of USD 1183.74/Oz.
Gold: a resilient safe haven
The resilience shown by the metal contradicts the drop seen in the other safe haven assets like Treasuries, Japanese Yen and Swiss Franc. Moreover, the metal has ignored the strength in the USD index as well as the hardness in the yields. The 10-year yield in the US has strengthened 3.6 basis points to 2.186%. The Swiss Franc and the Japanese Yen have lost 0.10% and 0.32% respectively against the US dollar.
Meanwhile, the mixed action in the major European markets, coupled with a flat activity in the US equities fail to provide clear trading cues to the yellow metal.
Gold Technical Levels
The immediate resistance is seen at 1192.93 (50-DMA), above which gains could be extended to 1199.5 (May 5 high). On the flip side, a break below 1189.37 (hourly 200-MA), could send the metal back to 1185.86 (hourly 50-MA).
Gold: a resilient safe haven
The resilience shown by the metal contradicts the drop seen in the other safe haven assets like Treasuries, Japanese Yen and Swiss Franc. Moreover, the metal has ignored the strength in the USD index as well as the hardness in the yields. The 10-year yield in the US has strengthened 3.6 basis points to 2.186%. The Swiss Franc and the Japanese Yen have lost 0.10% and 0.32% respectively against the US dollar.
Meanwhile, the mixed action in the major European markets, coupled with a flat activity in the US equities fail to provide clear trading cues to the yellow metal.
Gold Technical Levels
The immediate resistance is seen at 1192.93 (50-DMA), above which gains could be extended to 1199.5 (May 5 high). On the flip side, a break below 1189.37 (hourly 200-MA), could send the metal back to 1185.86 (hourly 50-MA).