Gold Tests Both Ends Of 5 Day Range

em>Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show.

Gold futures are trading lower by $9 at $1185.40 in Wednesday's session. Beside a brief jaunt to $1204.70 on Monday, the contract has been in a very tight trading between range between between $1180.20 and $1196.40. In today's session, it has tested both ends of the trading range. During premarket trading it approached the upper-end of the range, but came up shy only reaching $1995.60. Around 1:00 PM it pierced the bottom of the range breachng the lower boundary, but going no lower stopping at $1179.10 but then quickly rebound and is consolidating at the $1185 level. Longer-term, gold has been in trading range as well. Since March 20 it has been in a trading range between $1169.70 to 1232.90, zigzagging above and below the strong psychological level of $1200. Posting a series of close on either side and then reversing course. With no catalyst on the horizon, it may continue this consolidation pattern, until the Fed finally raises rates or a geopolitical event ignites a flight to quality.
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: FuturesTechnicalsCommoditiesIntraday UpdateMarketsMoversTrading Ideas
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!