MUMBAI, Jan 06 - Gold Trade prices ended the U.S. day session higher and near the daily high after trading on both sides of unchanged in choppy price action. There has been fresh safe-haven investment demand for gold surface this week, amid fresh tensions between the U.S. and Iran, and amid the ongoing European Union sovereign debt crisis. The gold market held its own Thursday despite a sharp rise in the U.S. dollar index. February gold last traded up $11.10 at $1,623.80 an ounce. Spot gold was last quoted up $10.60 an ounce at $1,623.75. March Comex silver last traded up $0.273 at $29.37 an ounce.
The U.S. dollar index traded solidly higher Thursday, which did somewhat limit the upsie in gold the precious metals. The dollar index bulls have the solid overall near-term technical advantage, which has been a bearish underlying factor for the precious metals. The dollar index has been and likely will continue to be a major “outside market” force for the precious metals. Remember, however, that if a geopolitical development heats up markedly and unexpectedly, both gold and the U.S. dollar can appreciate at the same time—such as was the case Thursday.
Gold Technical View : We have made things simpler for readers, we have incorporated a indicator overlaid in prices which gives the common investor the over all trend of the commodity at a glance. As we see in the Gold price chart – Gold is rallying higher is above the trend indicator ( in yellow) a bullish sign gives a buy signal when price moves above the yellow indicator – a sign of strength as seen on the chart.
On the price chart ,we have given the Cylcle strenght indicator for GOLD , Silver, Crude, Euro and Dow – and the way to interpret is as long as the indicator values is above 50% – a bullish ( strength) signal and below 50% reading indicated a bearish ( getting weaker) signal.
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