Gold Price at 3-1/2 month high, up $100 in one month
London (Feb 8) Gold extended gains to a fresh 3-1/2 month high of USD 1181.72 levels as the flight to safety continues in early US session. Metal up $100 within one month
Prices began the rally form the intraday low of USD 1070.90 seen on Jan 14th largely on account of the risk-off in the global markets. Japan’s negative rate surprise and the ECB’s readiness to do more in March only added to the bullish momentum.
As of now, the major US index futures are pointing to a weak opening. Hence, the upside remains exposed as we approach the opening bell.
Gold Technical Levels
The immediate resistance is seen at 1183.00 (Oct 28 high), above which prices could test 1191.57 (Oct 15 high). On the other hand, a break below 1163.80 (daily low), under which losses could be extended to 1157.22 (76.4% of Oct high-Dec low).