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12 Sep 2013
Gold teetering on the brink above 1,351.60 key support
FXstreet.com (Barcelona) - Gold remains bearishly below 1,416.40 but bullishly above 1,351.60 as the early Thursday session progresses.
Gold failed to rally despite the short-term weakness in the DXY
With the weakness seen in the US Dollar recently, one might have deduced that gold would have rallied - it has not thus far. The fact that it has not may simply be a function of gold being treated as a safe harbor asset – and the safety trade has been out of favor recently.
Technical outlook for gold
Technicians say that at this point gold below 1,421 is very bearish – to the point that downside targets are all the way down below 1,100. Shorter-term support comes in at 1,351.60, 1,328.50 and 1,314.27. A close above 1,416.40 would have the technicians reconsidering their bearishness.
Gold failed to rally despite the short-term weakness in the DXY
With the weakness seen in the US Dollar recently, one might have deduced that gold would have rallied - it has not thus far. The fact that it has not may simply be a function of gold being treated as a safe harbor asset – and the safety trade has been out of favor recently.
Technical outlook for gold
Technicians say that at this point gold below 1,421 is very bearish – to the point that downside targets are all the way down below 1,100. Shorter-term support comes in at 1,351.60, 1,328.50 and 1,314.27. A close above 1,416.40 would have the technicians reconsidering their bearishness.