Gold May Rise Back to Record, GoldCore Says: Technical Analysis

5 March 2010  Bloomberg.com

March 5 (Bloomberg) -- Gold’s rally in everything from dollars to euros to pounds is a sign of strengthening demand and the metal may return to its record of $1,226.56 an ounce, according to technical analysis by broker GoldCore Ltd.

The attached chart shows gold may rise to the all-time high of December, “especially if resistance at $1,160 is broken.” That was the highest reached in January. The second chart shows gold priced in euros and sterling reached records this week.

Gold’s rebound from a three-month low the past month “could signify the end of the recent correction, especially as it has coincided with a period of strength for the dollar versus the euro and sterling,” said Mark O’Byrne, executive director of GoldCore in Dublin. “There definitely appears to be a trend for higher gold prices forming.”

http://www.bloomberg.com/apps/news?pid=20601110&sid=arLW6nrlLolo