spot gold

Spot Gold Price 11 Oct 2010

The spot gold price climbed higher once again on Friday recovering from Thursday’s sell off which saw the precious metal hit an intra day high and new record at $1364.55 per ounce before pulling back.  Friday’s price action was primarily to the upside with the commodity closing at $1349.50, having initially tested the market to the downside at $1324.80.  A feature of Friday’s gold trading session was the support from the 9 day moving average which once again confirmed the strongly bullish trend for spot gold which has continued virtually untroubled since late July.  Both the 9 and 14 day moving averages continue to provide excellent support and with the 40 day and now the 200 day also pointing sharply higher the longer term upwards trend looks set to continue for some time to come.  With Friday’s non farm payroll now adding additional pressure on the Fed to introduce a further round of quantitative easing, this is likely to drive commodities higher still as investors fear a further debasement of paper currencies and, as such, driving safe haven metals, such as gold, higher still.  The bullish trend has continued in this morning’s early gold trading session with the metal opening gapped up at $1355.30, but with Japan, Canada and the US all closed today for national holidays, and with no significant fundamental news we are likely to see a day of relatively quiet price action as a result.