Home » Spot Gold Price - Daily News » Spot Gold Prices – Gold Price Chart 27th May 2009

Spot Gold Prices – Gold Price Chart 27th May 2009

Spot Gold Price Chart - Gold Prices 27th May 2009

With geopolitical matters now taking centre stage as North Korea continues to increase tension with various threats markets have yet to decide how to respond, but it is curious and interesting to note that both the currency and commodity markets are reacting in a very similar way, with indecision epitomised by various doji candles on the daily charts, coupled with sideways movement and consolidation.  Yesterday’s gold chart was typical with spot gold prices ending marginally lower on the day and creating a candle with a deep lower shadow and with the low of the day bouncing off the 9 day moving average and finishing $3.85 down to settle at $952.35 per ounce.    From a technical perspective yesterday’s candle is extremely candle to read, particularly as the previous day’s candle was created on such thin volume.  Under normal circumstances I would suggest that a spinning top, followed by a “hanging man” would be sufficient to suggest weakness following the bullish rally of the last few weeks, however, I am not entirely convinced that this is the case partly because of the geopolitical background outlined above and partly because the rally has not demonstrated sufficient definition to warrant such an analysis.  My trading suggestion therefore for today is to take a wait and see approach and we may have a clearer idea of the relevance or otherwise of this candle pattern following today’s trading session.

The short and medium term trends are sideways, while the long term is bullish.

Support:    $940.60 (yesterday’s low)                                   Resistance: $967.00 (high of 20/03/09)

Support:    $935.55 (low of 21/05/09)                                   Resistance: $962.50 (high of 19/03/09)

Support:    $929.60 (low of 06/03/09)                                   Resistance: $957.40 (yesterday’s high)