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28 Jan 2014
Gold reverses and falls below $1,260
FXstreet.com (Córdoba) - Spot gold (XAU/USD) finished Monday with important losses and far the highs below $1,260. The ounce jumped at the beginning of the week to $1,279 reaching the highest price in two months but then lost momentum.
Gold from 2-month highs to 2-day lows
During the European session and on American hours accelerated to the downside and bottomed at $1,251, the lowest price since last Thursday. The strong reversal comes after the metal finished last week above around an important resistance area at $1,267.
As it has been since the beginning of the year, the short-term trend still points to the upside but after the reversal lost momentum and gave some bearish signals. Under $1,250 the downside could accelerate while a return above $1,270 could remove bearish pressures.
Gold from 2-month highs to 2-day lows
During the European session and on American hours accelerated to the downside and bottomed at $1,251, the lowest price since last Thursday. The strong reversal comes after the metal finished last week above around an important resistance area at $1,267.
As it has been since the beginning of the year, the short-term trend still points to the upside but after the reversal lost momentum and gave some bearish signals. Under $1,250 the downside could accelerate while a return above $1,270 could remove bearish pressures.