$1100 Held After All

As the U.S. dollar rally abated, gold bulls got a respite after the price dipped briefly below US$1,100/oz. That dip took place at about 3:45 PM ET yesterday, and lasted for about two hours (excluding the late-afternoon time-out.) Then, the gold price slowly clambered up above $1,100, lumbered to its previous support level at $1,110, and stayed stuck in a range. As I write this post, spot gold's at $1,105.20

This Globe and Mail report shows a bend with the new wind: an expert quoted modified the earlier $1,110-$1,140 trading-range forecast by adding a contingency: gold will be in that range provided that the greenback doesn't keep rallying. Also mentioned is that Indian physical-gold buyers are holding off purchases because they expect the price to drop further.