The pair of gold / U.S. dollar bassed in a relatively narrow range yesterday, as investors tried to absorb the low price of gold on Friday.
Decline in demand for gold significantly, as the market conditions weaken the attractiveness of gold as a safe-haven assets. Recent data from the United States show that the economic recovery continues to get momentum, but Europe is still in a critical condition.
Although gold prices found support around $ 1608 USD/Ounce during the Asian trading session, the technical outlook for the market looks weak. On the chart for four hours.
Proportion to the rest of the week, I expect that the pair of gold / U.S. dollar will have a support approximately between $ 1626 and 1588 USD/Ounce of gold. From the standpoint of daily life, key levels that must be monitored at $ 1619 and 1607 USD/Ounce of gold.
Gold will need to climb upward movement above $ 1619 USD/Ounce in order to get some movement and to defy the downward movement in 1626. Daily closing above the resistance level at 1626 will indicate that there is an increase in buying pressure. In that case, I expect to see more resistance at 1640.40, 1647.38 and 1652.
In case the pair faced strong resistance and penetrated down below $1607, expect support at $ 1603.66, 1597.77 and 1588 USD/Ounce.