Gold Jumps 0.50% as Asian Equities Drop

Gold Jumps 0.50% as Asian Equities Drop

22 March 2016, 08:50
Roberto Jacobs

Gold Jumps 0.50% as Asian Equities Drop

Gold is up 0.50% around $1250/Oz levels amid moderate losses in the European equities after though Fed officials talked up rate hike bets.

Supported by $1240

The offered tone ran out of steam at yesterday’s low of $1240 even Fed’s Williams expressed a possibility of rate hike in April/June. Moreover, hawkish comments from Fed officials did weigh over equity prices in Asia and thus helped safe haven metal gain ground.

Ahead in the day, the metal is likely to track movement in the USD index, which is now trading flat. Equity market sentiment too could have its say in determining price of the yellow metal.

Gold Technical Levels

The immediate hurdle is noted at $1257 (trend line resistance), above which prices could target $1270.93 (Mar 17 high) and $1283 (Mar 11 high). On the other hand, a break below 1240 (previous day’s low) would expose support at 1225.61 (Mar 15 low) and $1200 (psychological figure).

(Market News Provided by FXstreet)

Share it with friends: