Sometimes trading is nothing more than watching the big figures.
Gold was flushed lower yesterday in US trading and that continued today early in Asia. When Tokyo markets opened, a switch flipped and gold fell by more than $100.
Gold dropped as low as $4005 but bids at the figure caught the falling knife in a quick bounce to $4030. From there, a steady stream of bids arrived and gold is now down just $12 on the day. It’s going to be a harrowing one for the rest of the day and we could test $4000 again in US trading.
If gold can hold near current levels and finish above $4100, I’d expect more buyers to step in tomorrow.
This article was written by Adam Button at investinglive.com.