FXStreet (Córdoba) – Gold prices fell to fresh 2-week lows on Wednesday as activity continues to decrease in financial markets. The yellow metal fell 0.8%, to settle at $1,059.80 an ounce, its lowest close since Dec 17. The bright metal was weighed by a sharp decline in oil prices, and by a stronger dollar.
Gold technical view
“Thin market conditions have not been enough to interrupt the bearish trend in the metal, as the daily chart shows it’s ready to resume its decline, given that the price has accelerated below a now bearish 20 SMA, while the technical indicators accelerated their declines below their mid-lines”, said Valeria Bednarik, chief analyst at FXStreet. “In the 4 hours chart, the price has accelerated sharply lower below its moving averages that continue confined in a tight range, although gaining bearish potential, while the technical indicators head lower near oversold territory, supporting some additional declines on a break below 1.059.30 the daily low and the immediate support.”
Support levels: 1,059.30 1,051.85 1,046.30. Resistance levels: 1,066.10 1,075.20 1,082.40.
(Market News Provided by FXstreet)