NewswireToday - /newswire/ -
Toronto, Ontario, Canada, 2012/01/27 - Asian stocks were mixed after the closing bell on Friday, while Gold futures traded lower on Friday, on investor profit taking, after hitting six week highs yesterday on the Federal Reserved vowing to keep interest rates low and monetary ease.
InvestTechFX reports that at the close of Asian trade, Japan’s Nikkei 225 index fell 0.09%, Australia’s S&P/ASX 200 index gained 0.40%, while Hong Kong’s Hang Seng Index was trading 0.38% up. The outlook for U.S. equity markets was mixed. Dow Jones Industrial Average futures indicated a loss of 0.07%, S&P 500 futures pointed to a decrease of 0.06% and Nasdaq 100 futures indicated a rise of 0.04%.
Meanwhile on the Comex division of the New York Mercantile Exchange, gold futures for February delivery traded at USD1722.75 a troy ounce during late U.S. dipping 0.23%. It earlier soared by as much as 1.9% to trade at USD1730.45 a troy ounce, the highest since December 8.
Gold futures were likely to find support at USD1649.25 a troy ounce, Wednesday’s low and technical resistance exists at USD1761.35 a troy ounce, the high of December 8.
Interestingly, gold's correlation with the euro/dollar exchange rate is at its most positive in nearly 2 years. This means that gold is more likely to move in synch with the euro than at any other time since January 2010.
News that the cost of insuring against default in European corporate debt dropped to the lowest in nearly five months adding to the gold positive sentiment. Adding to the bullish fever, gold prices broke their 100 day moving average attracting buying from trend funds and other technical traders.
Elsewhere on the Comex, silver for March settlement dipped 0.75% to trade at USD33.49 a troy ounce, while March copper futures advanced 0.40% to trade at USD3.92 a pound.
Weakness in the U.S. dollar worked to support precious metal prices. The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, fell 0.26% to trade at 79.33. InvestTechFX offers the MT4 trading tool as a means to trade all six major currencies with 0.5 PIP on standard accounts.
InvestTechFX is a software solutions company that deals with the Forex Market by offering specialized commodities trading, including gold, oil and silver. With Money Manager, IB and White Label services as well as many benefits including tight pip fixed spreads, leverage ranging from 1:100 to 1:500 to permit the use of scalping, hedging options and Expert Advisors.
InvestTechFX (investtechfx.com) is a No Dealing Desk (NDD) and Straight Through Processing (STP) Forex company offering an industry leading ½ pip on all 6 majors while trading with the MT4 platform with optional ECN. In January of 2012 InvestTechFX will be offering some excellent trading bonuses depending on the amount of deposits made by customers.