gold price volatility

The fourth largest Spanish autonomous region Valencia, financial difficulties, need help to the Spanish Government; In addition, the market is more outgoing Greece will emerge the euro area news, market concerns about the debt crisis in Europe is heating up again, Europe and the United States stock market and the risk of currency that day generally fell, dragging down the price of gold also see down in Europe, the middle, but Russia last month to increase gold reserves of the message constitutes support for the gold, the gold period in the United States since the lows by the down turn to New York, August gold closed up 2. $ 4, or 0.15 percent, to close at $ 1,582.8;, London gold rose $ 3.4, or 0.21 percent, to close at $ 1,584.7 an ounce.

Technically, the narrowing of the gold price volatility, continued around $ 1 580 on and off for the interval in the triangle is brewing breakthrough in the current triangle top and the bottom has been narrowed to $ 1609 and $ 1.56 thousand. Continue to advise investors to buy low and sell high strategy, $ 1,573 to establish long positions, the target price of $ 1,590, stop-loss price of $ 1,566.

European debt crisis worries heating up again, the euro against the dollar to maintain the downward trend, the funds continue to flow into the U.S. dollar hedge, due to the uncertainty of the debt crisis in Europe has not diminished, it is expected that the U.S. dollar short-term will still remain strong, the price of gold is a bearish factor, the price of gold Once a breakthrough down opportunity is likely to be larger. Therefore, once the price of gold fell below $ 1,566, the investor can establish a short position, the target price of 1530 U.S. dollars, stop-loss price of $ 1,575.

Reuters poll forecast of 10 importers in India, gold dealers and brokers for the third quarter of 2012 India's gold imports, the median estimate of 135 tonnes, compared to 205 tonnes a year earlier (2011) have fallen sharply to 34 %, mainly due to Indian rupee depreciation to the high local price of gold, decorated with gold and investment demand remains in the doldrums. (Source: Reuters, 2012 July 18)

Last Monday the German Constitutional Court said that "will be announced on September 12 ruling on the EU financial agreements and the European stability mechanism (ESM), to enhance market concerns about the debt crisis in Europe, the price of gold fell to 1,578 dollars, but the United States released 6 Retail sales fell 0.5% (lower than the predicted value growth of 0.2%), showing the strength of the U.S. economic recovery slow to attract the buying approach of the gold market, pushing up the price of gold rose to U.S. $ 1,594. Tuesday, Spain successfully auction € 3.56 billion bond, driving the highest price of gold rose to U.S. $ 1,599, but Fed Chairman Ben Bernanke in Senate testimony only reiterated that it will take further action to promote economic recovery, the labor market does not improve, but no mention of a new round of quantitative easing measures, the emergence of the gold market disappointment selling gold quickly dropped to 1,571 dollars. Wednesday German auction of 4.17 billion euros of 2-year bonds, the first negative yield, that the market continued to worry about the debt crisis in Europe, together with the United States announced the increase in June housing starts to an annual rate of 760,000 (higher than the estimated value of 74.5 million, and since October 2008, a new high), the price of gold continued to fell to 1,567.34 dollars, nearly one week lows. Thursday the United States released the week before the first application for unemployment benefits substantially increased 3.4 million to 38.6 million existing home sales unexpectedly fell in June to 4.37 million in June leading indicators fell 0.3 percent, and weak economic data, renewed market more to stimulate the FED launched the expectations of economic policy, pushing up the price of gold rose to U.S. $ 1,591 Friday by Spain of the autonomous region of Valencia, will the Government of Spain financial aid requirements, the Spanish 10-year bond yields surged to 7.284 percent, the euro the dollar fell to 2-year low, the price of gold fell to 1,573 dollars, but the Russian central bank announced gold reserves increased by 6.2 metric tons in June, pushing up the price of gold back above $ 1,580, the final offer of U.S. $ 1,582.73, compared to the previous Friday (July 2012 13) was last quoted at 1,588.44 U.S. dollars, down $ 5.71.