Gold Trades Higher as European Recession Worries Deepen
Source: Seeking Alpha, Mark O'Byrne (5/18/09)
"Gold traded higher by approximately 1% on the week in all the major currencies. . ."
Despite the dollar strengthening, gold benefited from the outflows from both stocks and commodities. Gold traded higher by approximately 1% on the week in all the major currencies, as concerns about the recession in Europe deepen.
Gold outshone other precious metals with silver trading sideways for the week, again in all currencies. Currently silver is trading at $14.00 per ounce.
In the U.S., Housing Indicators will be closely examined for any sign of the much hyped "green shoots!"
Technically gold's uptrend will run in to resistance at $945/950, while a close above this could open the way for a test of $965/$970, failure would confirm that the $945 to $870 range that we have seen for the last two months is holding.