Spot gold prices continue to consolidate after the jolt up from around $1650 through $1700 following last week’s FOMC meeting. The metal is receiving solid support from Asia, particularly China, and demand is still firm despite the end of the Chinese New Year celebrations. Concerns in the EU and the ongoing delay to the Greek debt swap deal with its private creditors is also fueling the bullish tone, despite some falls in US crude oil prices. Yesterday saw the metal climb to a new 7week high of $1751.15 after opening in Asia at $1737.70. Prices then slipped back a little in NY to $1739.50 but remained buoyed on the day, closing last night at $1744.35. Asian markets this morning have seen another spout higher to $1752.50 before easing back to $1744. As for today, support is seen towards $1732.75 and $1726.25 with resistance at $1756.30 and $1763.30.
EasyForexNews Research Team