Make Kitco Your Homepage

Gold Breaks Out

Commentaries & Views

(Kitco News) - Gold broke above the $1,322 level as the dollar came under further pressure overnight. With growth in Europe accelerating, the markets are expecting the ECB to begin a more aggressive tightening cycle. Physical demand in Asia has also picked up ahead of the Chinese Lunar New Year. The recent move in gold has been almost entirely correlated to dollar weakness, which continues to remain the main focus. Retail demand in North America, for the time being, remains anemic but a break higher may encourage new participation. The $1,322 area now becomes support, with the next resistance level for gold around the $1,338 area. A break through here suggests a possible move to the $1,347.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

Precious Metal Charts

Follow Kitco News

Silver Cache Kits