Spot Gold Price Chart 26 Jan 2010

Spot Gold Price Chart 26 Jan 2010

A relatively quiet day across all the commodity markets, as most of the major metals and energy units consolidated sideways, with the gold spot price following suit in today’s gold trading session, testing lower price levels in the morning session, only to recover later suggesting a modicum of bullish sentiment, despite the recent sharp sell off over the last few weeks. Whilst this is a long way from any positive and meaningful bullish signal, the depth of today’s wick tends to indicate some buying on the daily gold chart as the market looks to build some traction at this level, mirroring the previous attempt to rally in late December. With all three moving averages now pressing lower, and with sustained and developed congestion above, any recovery will require some momentum in order to break above all these technically bearish levels, and only a break and hold above the $1,160 per ounce level would indicate that a sustained recovery is likely. Longer term of course the outlook for the gold spot price remains firmly bullish, but in the short to medium term we need to see some positive moves higher as well as a break out of what is increasingly looking like a period of sideways consolidation on the daily gold chart.

What is the best platform for gold trading?  In my view it is Metatrader 4.  Download your free demo copy of the metatrader 4 software by clicking on the following link, download metatrader free, and get started today.

Support & Resistance for the gold spot price (daily chart)

S1:   1087.97     R1:   1105.00

S2:   1078.14     R2:   1113.22

S3:   1070.43    R3:   1123.05