Gold price technical analysis 15, March – 2013

Europe

The pair of gold / U.S. dollar closed at a price higher than the opening price, as the US President Obama administration’s opposition to the Republicans plan to balance the U.S. budget over the long term, have led to renewed fears that policymakers will continue their political games and wait until the last minute.

The Pair of Gold/US dollar at low level reached $ 1576.79 USD/Ounce after data showed issued by the Department of Labor that the demands on unemployment benefits fell by 10 thousand to 332 thousand, but activity turned into ascending order after he said a leader of the Republican Party, Senator from Texas, “John Cornyn” : “After today’s meeting, it became clear to me that the balance in our budget and cut spending ballooning from Washington, are not a priority for Obama.”

Seems to be great abyss between Democrats and Republicans on fiscal policy will continue to cause serious problems. The inability of politicians to long-term deficit reduction in the budget could be supportive for gold. Today will be burdened with economic data from the United States, so you must expect some volatility.

If the pair was able to penetrate the level of 1597.77 USD/Ounce, it is possible that the upward movement can get more traffic and to defy the downward movement when the next resistance level at 1604 USD/Ounce. Weekly closing above 1604 will be an indication that the upward movement will target the level of 1613 and 1625 USD/Ounce thereafter. If downward movement seized control, support will be at the bottom in 1585 and 1580 USD/Ounce and 1572 USD/Ounce. to penetrate