Gold price technical analysis 28- February, 2013

Gaining profit take place in the market before the US data

the Settlement of  gold / U.S. dollar pair, at a lower price on Wednesday, as it dropped, having achieved significant gains during the previous sessions, where the numbers of home sales, which came it was better than expected durable goods data increased the demand for the U.S. dollar before the reports of GNP and the demands unemployment due for release today.

Data issued by the National Association of Realtors showed pending home sales index rise 4.5% to reach 105.9 in January, by the rate of 101.3 was amended down during the month of January. This increase is the highest since April 2010.

Global financial markets rose distanced by Italy, which was able to sell all government bonds “medium-and long-valued” at $ 6.5 billion through the auction. And the U.S. dollar seems to be the strongest and the sharpest rise in stocks markets, prompting some investors away from gold.

Gold is trading / USD currently at $ 1598.25 USD/Ounce. Upward movement will need an increase  in buying pressure and hack to above the level of $ 1604 USD/Ounce in order to get some momentum.

In that case, you will see the level of $ 1618 USD/Ounce and $ 1626 USD/Ounce, and ends above $1626 USD/Ounce will indicate that the upward movement will target the level of $1640 USD/Ounce. With this, in the event dominated the upward movement and prices began to fall, expect to see support at $1587 and 1580 and 1574 USD/Ounce.