18 Dec 2014
Gold higher after FOMC, trades below USD 1200
FXStreet (Mumbai) - Gold prices on Comex trades edged higher in Asian morning, although traded under USD 1200 on a slightly dovish Fed’s language. Gold prices saw a brief spike above USD 1200 following US Federal Reserve’s Statement.
Currently, gold prices trades at USD 1198.40/Oz, higher 0.33% on the day, after having hit day’s low of 1189.30 levels. Gold prices remain supported as Fed maintained its stance of a probable interest rate hike in mid-2015; however, the Fed reiterated that rates will stay near zero for a "considerable time" while stressing that Fed officials will be “patient” before the start of policy tightening. Markets considered the Fed’s language a bit more dovish, which may buoy gold prices.
Gold Technical Levels
The metal has an immediate resistance at 1203 (Nov 25 High), above which gains could be extended to 1209.30 (Dec 8 High) levels. Meanwhile, support stands at 1194.78 (20-day SMA), below which doors could open for 1191.30 (Dec 15 Low) levels.
Currently, gold prices trades at USD 1198.40/Oz, higher 0.33% on the day, after having hit day’s low of 1189.30 levels. Gold prices remain supported as Fed maintained its stance of a probable interest rate hike in mid-2015; however, the Fed reiterated that rates will stay near zero for a "considerable time" while stressing that Fed officials will be “patient” before the start of policy tightening. Markets considered the Fed’s language a bit more dovish, which may buoy gold prices.
Gold Technical Levels
The metal has an immediate resistance at 1203 (Nov 25 High), above which gains could be extended to 1209.30 (Dec 8 High) levels. Meanwhile, support stands at 1194.78 (20-day SMA), below which doors could open for 1191.30 (Dec 15 Low) levels.