Commodity Daily News

Gold Price Meeting Resistance

The price of Gold found heavy support over the past several days despite the surging strength of the US dollar, the currency in which such assets are valued. Gold has been trading with wilder price action since early August, but traders have been awaiting a price correction from the rampant increase in risk aversion due to rising tensions from the euro zone's periphery and a sudden lift off in dollar values.

As investors seek safety, the value of Gold, which has been seen trading with bullish results for the past eight trading days, is expected to rise further should it breach the current resistance level it is currently testing at $1,742. A sudden rise in dollar values due to this week's uncertain environment is expected to assist the sentiment favoring Gold, however. Should risk sentiment continue to bounce in sporadic directions this week, the price for this precious metal may continue to experience similar swings in value, favoring an upside as Gold holds within its current bullish channel.