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26 Jan 2015
Gold declines as markets shrug off Greek election outcome
FXStreet (Mumbai) - Gold prices dipped into the red during the European session as the investors shrug-off a widely expected victory by the Syriza party in the weekend’s Greek election.
The yellow metal currently trades 0.66% lower at USD 1284.90/Oz levels, after having declined from the high of USD 1300.20/OZ levels hit earlier today. The Anti-bailout Syriza’s victory was well anticipated and therefore priced-in by markets in advance. Hence, a “buy on rumor, sell on fact” pattern is seen as gold prices declined post Syriza’s victory.
Moreover, Gold has declined despite significant weakness in the European equities, and a slight drop in the US treasury yields.
Gold Technical Levels
The immediate resistance is seen on the hourly chart at 1288.70, above which the metal could re-test 1300 levels. Meanwhile, support is seen at 1282.40 and 1272.10 levels.
The yellow metal currently trades 0.66% lower at USD 1284.90/Oz levels, after having declined from the high of USD 1300.20/OZ levels hit earlier today. The Anti-bailout Syriza’s victory was well anticipated and therefore priced-in by markets in advance. Hence, a “buy on rumor, sell on fact” pattern is seen as gold prices declined post Syriza’s victory.
Moreover, Gold has declined despite significant weakness in the European equities, and a slight drop in the US treasury yields.
Gold Technical Levels
The immediate resistance is seen on the hourly chart at 1288.70, above which the metal could re-test 1300 levels. Meanwhile, support is seen at 1282.40 and 1272.10 levels.