Gold Price Likely To See A Broken USD960 Level This Week

The dollar plummeted yesterday, from $1.4250 against the euro to $1.4440. With risk appetite rising, US Treasuries are being sold off — leading to dollar weakness. Equity markets continue to rise, and the S&P broke above the 1,000 resistance level yesterday for the first time since November 2008.

Eurozone PPI came in at a slightly better-than-expected 0.3% m/m rise. This is significant, in light of tomorrow’s ECB interest rate decision. With inflationary pressures higher on a m/m basis (although still very low), it adds to the reasons why the ECB might keep rates at 1% — something we view as supportive of the euro.

Gold failed to take full advantage of the dollar. There was good physical selling with gold above $960, a pattern which we expect to continue. Gold resistance remains in the $960 – $962 area. A break below $950 could see gold test $945, and then $935.

Two possible outcomes are (1) surprise dollar rally, and (2) no dollar rally. If we get a surprise dollar rally off, say, 74, then gold won't pierce $1,000 for 3 - 6 months. If no dollar rally ensues, the gold price will break thru $1,000 early in the fall, then run to US$1,300 very fast.


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Malaysia Gold Investment

I found Gold Investment in Malaysia is a vary good tools to make profit when the market is down. I also found that Gold Price go up and down more slower compare to share market so to make money in long term, Gold is the right tools. This blog is all about Malaysia Gold Info and the way to make profi

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