Gold Tight Trading Amidst Swine Flu Pandemic Fears
Source: Market Oracle, GoldCore (7/17/09)
"Gold continues to trade between $932/oz and $939/oz as it has done since Wednesday."
Gold touched $907/oz on Monday and from oversold levels earlier in the week has rallied strongly. Markets remain sanguine of the increasing risks posed by swine flu to the global economy. A respected think-tank in the UK says that GDP could fall 5% as a result of the outbreak. UK finance experts have estimated that world GDP could be cut by around £1.8trillion in six months of pandemic or 3.5% of 2009 global GDP. Gold’s outlook remains positive with $955 now a target. Short term support and resistance still remains at $932 and $942 respectively with wider support and resistance at $924 and $954.
Similar story for silver which continues to track gold in its usual leveraged manner. Currently trading at $13.21, with support and resistance at $13.01 and $13.40 respectively.
Platinum trading at $1,167 and Rhodium at $1,430.