Back
28 Jan 2015
Gold struggles for direction
FXStreet (Mumbai) - Gold trades dead flat as investors prefer to stay on the sidelines ahead of the FOMC meeting.
Stuck in a range
The yellow metal has been restricted in a range of USD 1300-USD 1275 since the beginning of the current week as markets weigh-in the possibility of Federal Reserve coming out slightly less hawkish amid non stop action from other central bankers across the globe.
Moreover, speculation of a sooner-than-expected rate hike in the US weighed over the metal price throughout the last year. However, the ongoing currency war in Europe and Asia, coupled with a string of weak data in the US have triggered speculation that Fed may delay the interest rate hike.
At the moment, the metal also lacks clear indications from other markets. The 10-year Treasury yield has consolidated around the 1.8% level, while the European equities trade with moderate losses.
Gold Technical Levels
The metal currently trades at USD 1289.9/Oz levels; down 0.16% for the day. The immediate resistance is seen at 1294.5 and 1300 levels, while the support is located at 1285 and 1275.6 levels.
Stuck in a range
The yellow metal has been restricted in a range of USD 1300-USD 1275 since the beginning of the current week as markets weigh-in the possibility of Federal Reserve coming out slightly less hawkish amid non stop action from other central bankers across the globe.
Moreover, speculation of a sooner-than-expected rate hike in the US weighed over the metal price throughout the last year. However, the ongoing currency war in Europe and Asia, coupled with a string of weak data in the US have triggered speculation that Fed may delay the interest rate hike.
At the moment, the metal also lacks clear indications from other markets. The 10-year Treasury yield has consolidated around the 1.8% level, while the European equities trade with moderate losses.
Gold Technical Levels
The metal currently trades at USD 1289.9/Oz levels; down 0.16% for the day. The immediate resistance is seen at 1294.5 and 1300 levels, while the support is located at 1285 and 1275.6 levels.