Remain on the sidelines.

Initially gold moved higher boosted by a weaker US dollar partly in response to comments from the People's Bank of China saying it will push for reforms of the international currency system and reduce over reliance on the dollar. This in turn was well received by the gold traders after China also mentioned that gold could be a better alternative. Nevertheless the yellow metal backed down towards the closing on profit taking ahead of week end settling at $938.05/oz down $1.05 for the day.

The short term trend is bearish, the medium term trend is sideways while the long term trend is bullish.

Support: $935.80 (Friday's low)
Resistance: $961.87 (high of 11/06/09)

Support: $929.25 (low of 25/06/09)
Resistance: $958.20 (high of 12/06/09)

Support: $912.70 (low of 23/06/09)
Resistance: $948.22 (Friday's high)

9 day moving average - $933.41
14 day moving average - $936.67
40 day moving average - $940.49

Buy gold while remaining on the sidelines.

Gold continued to rally on bargain hunting yesterday following expectations that a low interest environment will eventually lead to inflation. Some comments from a Chinese official suggesting the country buy more gold in case of US dollar getting weaker also seemed to help the precious metal. After the World Bank's downward forecast for the global economy additional support came from a rise in US initial jobless claims. So unsurprisingly gold finished $6.80 higher at $939.15/oz.

The short term trend is bearish, the medium term trend is sideways while the long term trend is bullish.

Support: $929.25 (yesterday's low)
Resistance: $958.20 (high of 12/06/09)

Support: $912.70 (low of 23/06/09)
Resistance: $943.15 (high of 17/06/09)

Support: $904.65 (low of 08/05/09)
Resistance: $940.27 (yesterday's high)

9 day moving average - $933.45
14 day moving average - $938.25
40 day moving average - $939.72

Gold moved higher today.

Gold moved higher gaining $7.72 to finish at $932.62/oz despite a rebound in the US dollar which usually means downward pressure for the precious metal. The move was possibly driven by a return to risk appetite encouraged by a stronger than forecasted US durable goods report. Some extra support may have come from tensions with North Korea which prompted flight to quality and also continued worries about reserve currency status of the US currency.

The short term trend is bearish, the medium term trend is sideways while the long term trend is bullish.

Support: $921.65 (yesterday's low)
Resistance: $958.20 (high of 12/06/09)

Support: $912.70 (low of 23/06/09)
Resistance: $943.15 (high of 17/06/09)

Support: $904.65 (low of 08/05/09)
Resistance: $941.30 (yesterday's high)

9 day moving average - $931.81
14 day moving average - $938.85
40 day moving average - $938.23

More consolidation for gold is likely.

Gold managed to recover some of Monday's heavy decline on a weaker US dollar and intraday rise in crude oil price. The yellow metal gained $3.12 to settle at $924.80/oz but only after falling to a 6 week low in early trading. However, the investment demand seems to be on a downward path suggested by the data on the holdings of exchange traded funds showing small withdrawals following a period of 12 straight days within the same levels.

The short term trend is bearish, the medium term trend is sideways while the long term trend is bullish.

Support: $912.70 (yesterday's low)
Resistance: $939.10 (high of 19/06/09)

Support: $904.65 (low of 08/05/09)
Resistance: $935.00 (high of 22/06/09)

Support: $895.30 (low of 06/05/09)
Resistance: $926.99 (yesterday's high)

9 day moving average - $931.15
14 day moving average - $939.67
40 day moving average - $936.79

Remain on the sidelines.

Gold declined sharply yesterday on the back of the US dollar strengthening and funds selling the precious metal along with equities on weakening economic outlook. The World Bank warned that prospects for the global economy remained uncertain despite recent signs of improvement and in turn cut its 2009 forecasts for most countries. As a result gold dropped $12.20 with some analyst mentioning the possibility for a test of $900.00/oz. Important to point out is the cross between the 9 and 40 days moving averages.
The short term trend is bearish, the medium term trend is sideways while the long term trend is bullish.

Support: $917.85 (yesterday's low)
Resistance: $956.02 (high of 21/05/09)

Support: $914.93 (low of 18/05/09)
Resistance: $939.10 (high of 19/06/09)

Support: $911.25 (low of 12/05/09)
Resistance: $935.00 (yesterday's high)

9 day moving average - $933.88
14 day moving average - $942.95
40 day moving average - $935.84

Consolidation continues for gold.

Gold continued to consolidate closing marginally higher (5 cents) largely on a string of mixed news: crude oil fell which tends to hurt gold but the US dollar also fell which usually supports the yellow metal. In addition some analysts pointed that safe heaven flows into gold have come to a standstill with ETFs holding also not moving anywhere. So the seasonally soft period for gold could potentially bring lower corrections even though inflation remains supportive for the long term.
The short term trend is bearish, the medium term trend is sideways while the long term trend is bullish.

Support: $931.90 (Friday's low)
Resistance: $961.87 (high of 11/06/09)

Support: $919.95 (low of 14/05/09)
Resistance: $956.02 (high of 21/05/09)

Support: $914.93 (low of 18/05/09)
Resistance: $939.10 (Friday's high)

9 day moving average - $937.16
14 day moving average - $945.06
40 day moving average - $936.58

Consolidation likely for gold.

We saw an 'Inside Day' pattern in gold with the high and low engulfed by the previous day ones which confirmed the consolidation range of the last few sessions probably waiting for the next trigger. The seasonally slow summer period has not seen strong demand but some buying interest does seem to emerge on dips. Yesterday's decline of $7.62 confirmed gold's correction from early June highs with traders closely monitoring the potential effect on gold from a seasonal sell off in equity markets.

The short term trend is bearish, the medium term trend is sideways while the long term trend is bullish.

Support: $929.74 (yesterday's low)
Resistance: $961.87 (high of 11/06/09)

Support: $919.95 (low of 14/05/09)
Resistance: $956.02 (high of 21/05/09)

Support: $914.93 (low of 18/05/09)
Resistance: $941.50 (yesterday's high)

9 day moving average - $941.80
14 day moving average - $950.75
40 day moving average - $934.79