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9 Feb 2015
Gold defends mild gains on weak Chinese trade numbers
FXStreet (Mumbai) - Gold prices on Comex remain slightly elevated in the Asian session as weaker than estimates Chinese trade balance data dragged Asian equities lower, making gold more attractive for investors.
Rises from 1235.30 levels
Currently, gold trades higher by 0.22% at 1237.30 levels, having posted fresh daily highs at 1239.30 levels earlier in the session. Gold prices edged higher after China's trade performance slumped in January, with exports falling 3.3 percent from year-ago levels, while imports tumbled 19.9 percent, far worse than expectations. The soft Chinese data sparked concerns over China’s growth prospects, boosting gold’s demand as a safe haven asset.
On the contrary, CFTC data on Friday showed that hedge funds and money managers cut their bullish bets in gold and silver futures and options for the first time in six weeks during the week to Feb. 3.
Gold Technical Levels
The metal has an immediate resistance at 1240 and 1246 levels. Meanwhile, support stands at 1234 levels below which doors could open for 1228 levels.
Rises from 1235.30 levels
Currently, gold trades higher by 0.22% at 1237.30 levels, having posted fresh daily highs at 1239.30 levels earlier in the session. Gold prices edged higher after China's trade performance slumped in January, with exports falling 3.3 percent from year-ago levels, while imports tumbled 19.9 percent, far worse than expectations. The soft Chinese data sparked concerns over China’s growth prospects, boosting gold’s demand as a safe haven asset.
On the contrary, CFTC data on Friday showed that hedge funds and money managers cut their bullish bets in gold and silver futures and options for the first time in six weeks during the week to Feb. 3.
Gold Technical Levels
The metal has an immediate resistance at 1240 and 1246 levels. Meanwhile, support stands at 1234 levels below which doors could open for 1228 levels.