This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
Gold pulls back to key $1200 mark
Gold has tumbled back into the crucial $1200 mark yesterday, following a period of strength throughout 2017 so far. A break below that level could spark a period of weakness should it occur, with $1188 the next crucially important support level.
On one hand, with price holding up around the $1200 mark, there is a good chance we could see a push higher once more to continue the recent bullish trend. On the other, we have seen a trendline break, with questions clearly being asked of this rally. A convincing break below $1200 could be the sign that we are set for a period of weakness.