Gold Settled .30 Cents Lower… ($1338.60)
Today's trading session covered a very technical $15.70 range as traders and investors got the opportunity to buy gold below the $1330.00 level. The session traded between support and resistance levels and rallied mid-session despite a strong U.S Dollar today. In my opinion this is the continuation of investors choosing Gold as their currency of choice.
Today's reading of Consumer Confidence data revealed a 50.2 this was higher than expectation that were projected to be 49.9… 90 is considered to be a healthy economy…. However, the large unemployment figures and record foreclosures it is extremely difficult for most consumers to have total confidence. The projection is for unemployment to remain over 9% through 2011… The European Union's fragility continues as reported by "The Athens News" Report on economy: Progress but no complacency… "The Bank of Greece recommended that the fiscal adjustment effort be continued without further increase in tax rates".
The Euro was very weak versus the U.S Dollar in today's trading session… The Gold has been benefiting from both a weaker Dollar and a weaker Euro in the past trading sessions due simply to the fact that savvier investors are choosing gold and silver as their alternative to the PAPER FIAT CURRENCIES… Investors are choosing tangible assets that have a history of retaining their value better than most other commodities and Gold, Silver, and Diamonds have that historical criterion….
DURABLE GOODS…….7:30 am (CST)
NEW HOME SALES…..9:00 am (CST)
My Swing Numbers 10/27
RESISTANCE # 2………….$1353.00
RESISTANCE # 1………….$1346.00
SUPPORT # 1………………$1330.00
SUPPORT # 2………………$1321.00
Mike Daly / Gold Specialist
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