Gold will remain largely dictated by movements in the euro/dollar exchange rate

After yesterday’s rapid gain, owed in large part to a weaker dollar and improving sentiment, gold has remained largely range bound. PGM ran into selling pressure during the New York trading session, surrendering the gains of the earlier part of the day. However, since then, interest in platinum and palladium has been muted.

For the rest of the day, price action in gold will remain largely dictated by movements in the euro/dollar exchange rate. Although it appears trading activity is lacking at present, making prices relatively stable.

Gold support is at $1,691 and $1,669. Resistance is $1,718 and $1,721.