XAU Trading Outlook
Oil & Gold (XAU) Gold took a third leg lowerto dip below $1650 before USD weakness later in the allowed a move back to $1663 resistance. Oil fell sharply near $3 a barrel with the downtrend spooking the buyers and sending them fleeing for the exit. Support was found at $102 before rebounding to $103.
Oil & Gold (XAU) Gold fell for a second day back to $1760 support before bouncing and consolidating just above the key support. Oil was the biggest mover crushed lower after talk the US is considering releasing strategic reserves and the Iran story started to lose its fear value.
Oil & Gold (XAU) Gold tested $1700 before reversing with the rest of the market and the failure could prompt a second day of profit taking. Oil ended roughly unchanged in choppy trade closing just under $107.
Oil & Gold (XAU) Gold soared as the QE3 door reopened and is the most bullish news the precious metal could have received with it trading now back above $1680. Oil struggled to take full advantage of the bullish stocks and weak USD as the price is already elevated on Middle Eastern concerns.
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