FxWirePro: Gold trades flat as holiday mood kicks off, good to buy on dips
Gold consolidates in narrow range between $1261 and $1268 for the past three trading session. US dollar shown a minor recovery till 93.56 and is currently trading around 94.31. Markets remain quiet as long weekend due to…
Gold consolidates in narrow range between $1261 and $1268 for the past three trading session. US dollar shown a minor recovery till 93.56 and is currently trading around 94.31. Markets remain quiet as long weekend due to Christmas holiday. The yellow metal jumped till $1268.89 and is currently trading around $1266.90.
US initial jobless claims rose 20k to 245k in the week ended Dec 15 compared with forecast of 234k. The final reading of US GDP came at 3.2% compared to forecast of 3.3%.
On the higher side, near term resistance is around $1268 (200- day EMA) and any break above will take the yellow metal to next level till $1273 (55-day EMA)/$1279.50.
The near term major support is at $1258 (23.6% fibo) and any violation below will drag the metal to next level till $1250/$1243/$1236 (88.6% retracement of $1204.70 and $1357). Overall bullish invalidation only below $1200. The minor support is around $1250/$1243.
It is good to buy on dips around $1260 with SL around $1254 for the TP of $1275/$1280.
