Janet Yellen Talks Gold DownMonday January 23, 2017 11:05
Gold edged lower late in the session yesterday as the Dollar strengthened on comments from Janet Yellen. Though fundamentals can be considered the driving force, this consolidation is very technical as well. Price action traded to an overnight low of 1197.1 and has held support at the 1198-1200 level. However, the trend line that was associated with this level now comes in against session highs and aligns with the initial swing highs last week at 1207.2; the bears must keep price action suppressed below here today. The ECB left rates unchanged this morning. Mario Draghi begins his press conference at 7:30 am CT along with Philly Fed Manufacturing data, Jobless Claims and Housing Starts. Trump also is set to speak later today at 10:15. The Dollar will be critics for the Gold trade today, especially as it comes off of long term support at 100.20 and 100.75.
Resistance – 1207.2**, 1212.9-1213.6***, 1218.9*, 1224.6**, 1246.9**, 1255.6***
Support – 1197.1-1198**, 1187.5*, 1182.7-1185.9***, 1171.1-1171.6**, 1160.4-1164.3**, 1143.9-1146.5***
By Bill Baruch