GOLD has slumped overnight with the latest minutes of the FOMC showing a number of members calling for a possible end to the Fed’s stimulus program at the end of the year. Furthermore, Cyprus announced that it would sell its gold holdings to assist with its financial position. The announcement saw gold fall by the most in five months. Gold traded a range of $1,554 to $1,585 overnight. Once again the metal is under significant pressure and looks like it may enter bear market territory as it once again looks likely to flirt with significant support at around the $1,535 level. Cyprus said it would raise approximately EUR 400 million on gold sales according to a draft European Commission report. The announcement precipitated a fall in the gold price of almost 2% just as the metal looked like it would recover the $1,600 level. We remain neutral on the metal until a firm break of $1,550 or $1,600. Look for a range of $1,555 to $1,565 today.
Compass Direction
- Short-Term: NEUTRAL
- Medium-Term: NEUTRAL
YOU SHOULD NOT TAKE ANY MATERIAL posted on this BLOG AS RECOMMENDATIONS
TO BUY OR SELL GOLD OR ANY OTHER INVESTMENT VEHICLE LISTED.
TO BUY OR SELL GOLD OR ANY OTHER INVESTMENT VEHICLE LISTED.
Do your own due diligence.
No one knows tomorrow's price or circumstance.
I intend to portray my thoughts and ideas on the subject which may s be used as a tool for the reader.
I do not accept responsibility for being incorrect in my speculations on market trend.
I intend to portray my thoughts and ideas on the subject which may s be used as a tool for the reader.
I do not accept responsibility for being incorrect in my speculations on market trend.
King Regards
