Gold prices continued to break out on Wednesday, and are poised to test higher levels. The dollar continues to slide which paved the way for higher gold prices. US yields were also under pressure. The U.S. ordered the closure of the Chinese Consulate in Houston, accusing China of extensive interference in domestic affairs which was an escalation of bilateral tensions that Beijing called outrageous and unprecedented. US existing home sales jumped June according to the National Association of Realtors.
Gold prices finished at 8-year highs and continue to accelerate higher. Target resistance is now seen near the August 2011 highs at 1,912. Support is seen near the 10-day moving average near 1,815. Medium-term momentum has reversed and turned positive as the MACD (moving average convergence divergence) generated a crossover buy signal.
Goldplat plc (LON:GDP) is an AIM-listed, profitable gold recovery services company with two market leading operations in South Africa and Ghana.