|Day's Range||1,295.5 - 1,307.901|
|52 Week Range||1,295.4995 - 1,307.9008|
Last week’s price action strongly indicates the U.S. Dollar is the biggest influence on the direction of gold prices. Gold prices could continue to get crushed if demand for the greenback rises from a combination of safe-haven demand and a strengthening U.S. economy.
Crude oil was supported primarily by worries over a possible supply disruption amid physical attacks on Saudi Arabian assets and US-Iran tensions. Natural gas rose as late spring/early summer heat became a new concern. Gold traders were burned by chasing headlines as the dollar regained strength on improving U.S. economic conditions.
Based on the early price action and the last price at $1276.30, the direction of the gold market the rest of the session is likely to be determined by trader reaction to a pair of Gann angles at $1278.30 and $1280.20.
Gold markets initially tried to rally during the week, slamming into the $1300 level. However, we were repelled there rather quickly, and then turned around to fall rather precipitously. With this in mind, this is not a good look for gold.
Gold markets fell rather hard on Friday, crashing into the $1278 region which is where the 200 day EMA is. Because of this, it looks like we are going to make a serious test of the $1268 level, an area that has caused the lot of support in the past.
Soybeans prices are down on Friday due to trade war and profit taking; Sugar is negative big as experts are forecasting another year of surplus.
Gold and other metals are posting losses on Friday but the move is contained by trade war events. Palladium is collapsing to 2-month lows.
Gold did turn its daily trend to up late last week and continued the move earlier in the week, but prices are now trading below those break out areas. This indicates that the rallies were fueled by short-covering and buy stops rather than aggressive speculative buying.
The S&P; 500 fell 14 points, or 0.5%, by 9:39 AM ET (13:39 GMT), while the Dow lost 133 points, or 0.5%, and the tech-heavy Nasdaq composite was down 50 points, or 0.6%.
In commodities, crude oil surged 1.2% to $62.63 a barrel over fears of conflict between the U.S. and Iran, while gold futures fell 0.1% to $1,285.05 a troy ounce. The U.S. dollar index, which measures the greenback against a basket of six major currencies, rose 0.1% to 97.720.
Investing.com - Gold prices traded near flat on Friday in Asia but drifted away from the key $1,300 level it hit earlier this week.
Gold markets fell rather hard during trading on Thursday, crashing into the $1290 level before stopping on a dime. That’s pretty impressive support, so at this point it looks that although the downtrend line has held and of course sent the market lower, the reality is that we have not change the entire outlook.
Based on the early price action and the current price at $1291.10, the direction of the June Comex gold market on Thursday is likely to be determined by trader reaction to the 50% level at $1291.30.
Gold and silver are trading weak as the metals couldn’t take profit from the risk aversion environment. Dollar index up for the fourth day.
It’s not the headlines that will drive prices higher, but rather a combination of a weaker U.S. Dollar, lower Treasury yields and a drop in demand for risky assets. Unless all of these factors weaken at the same time, gold is going to have a hard time attracting strong buyers.
The S&P; 500 rose 13 points or 0.5% by 9:39 AM ET (13:39 GMT), while the Dow jumped 111 points or 0.4% and tech-heavy Nasdaq composite gained 35 points or 0.5%.
Buying sentiment towards the Dollar took a hit on Wednesday afternoon after US retail sales unexpectedly declined in April for the second time in three months.
Investing.com - Gold prices were flat on Thursday in Asia, holding slightly below the key $1,300 level.