The precious metal get out from the previous trading range between the level of $1200 and 1260 USD/ Ounce of gold. The precious metal recieved some support after, comments by Fed Chairman Bernanke and the earlier release of FOMC minutes. In response to a question at yesterday’s scheduled address, Bernanke stated that ―highly accommodative monetary policy for the foreseeable future is what’s needed in the US economy.
The FOMC made the movement of the precious metal to a new trading level between $1240 and 1300 USD/ Ounce of gold, the other issue supported the gold price rise is the physical demand rise after the Chinese data. The current trading level for gold is more flat and obvious for gold trader but, this level is temporary level.
Gold price had to take the down trend or the rise trend. Gold will take the down trend by the end of Assets purchase program, we will reach a another wave area, between $1160 and 1200 USD/ Ounce of gold, the place which will attract, the big buyers like Central banks and huge investors.