Gold price technical analysis 22 – March, 2013–Gold has made some gains against the U.S. dollar, as the growing concerns over a potential economic disaster in Cyprus increased the attractiveness of gold as a safe asset.
The pair of gold / U.S. dollar flexible attacks downward movement during the past few weeks. And clear things others such as the political problems in Italy and assistance for Cyprus negotiations and anxiety on the U.S. budget, all of these things help the recent upward movement.
The pair formed high declines since he was able to hack out of the consolidation area between $ 1564 and 1585 USD/Ounce, and today we test the resistance level at $ 1616 USD/Ounce and which was the ceiling prices during the past four days.
the primary levels should be monitored today will be $ 1616 and 1608.50 USD/Ounce. If upward movement won a fight and rose above the level of 1616, I will monitor 1620 and 1625. With this, I expect to see a strong resistance level between $ 1625 and 1635 USD/Ounce. At the bottom, will be on the downward movement to pay the pair below the support level at $ 1608.50 USD/Ounce.
If we infiltration below this level, it is possible to drop prices to the bottom of the rising channel which is currently at 1603, and if this level is breached, the next challenge will be waiting downward movement when Zone at $ 1598 Usd/ounce. As the economic docket for the day light, I will monitor the USD / JPY and equity markets.