Gold price seesaws today after yesterday’s losses amid the decrease in new coronavirus cases and the death rates in Europe. New stimulus measures by the U.S. administration to combat the economic damage caused by the virus outbreak, also improved sentiment. On the other hand, weak economic data from the USA and Europe support the gold price.
Gold pride made fresh monthly high yesterday but lost momentum, as the stocks continue to trade higher for the second consecutive session. Gold price managed to regain over 14% from the March 12 lows.
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Gold Price Support and Resistance
Gold price is 0.11% higher at $1646 in cautious trading and low volumes. Gold positive momentum is intact despite yesterday’s losses. The long term picture is bullish, and the pullbacks could be considered as a buying opportunity.
On the downside, initial support stands at $1,640 the daily low. If the gold price breaks below, the next support area will be met at 1608 the low from April 6. Next support will be reached at 1,596 the 50-day moving average.
On the other side, the first resistance for gold price stands at $1,651 the daily high. More selling pressure might emerge at $1,672 the high from yesterday’s trading session. A break above would test 1,680 the high from March 10.
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