Gold Retraces Friday's Bounce
(Kitco News)- Gold continues under pressure overnight after last week'stepid bounce. Gold managed a meager $15bounce on Friday but could not sustain any momentum into the close. Overnightthe dollar continued to appreciate, whichbrought fresh selling into the commodity space. The technical charts lookterrible for gold but a possible support zone exists around $1,207. Watching the euro/dollar for a quick entry pointwill be important. The euro is close to 1.15 to the dollar and we would expectsome support at this level. If the euro breaks below the 1.15 figure, further selling in gold should be expected, witha test of the $1,202 line the first objective. Should gold recapture the $1,213area, we would expect a drift higher to the $1,220 area.
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