Gold was up 0.1 percent on Thursday, giving up earlier losses following earlier pressure from strong U.S. economic data and support from Federal Reserve Chair Janet Yellen for higher U.S. interest rates. Bullion fell to $1,195 an ounce at one point as data showed the number of Americans filing for unemployment benefits fell to near decades low and U.S. homebuilding rebounded sharply in December. But the yellow metal managed to rebound above $1,200 as the dollar and U.S. bond yields pared gains, and due to its appealing as a safe haven ahead of Donald Trump’s inauguration.
On technical front, the low lower shadow line formed on Thursday showed strong support at $1,200, while the MACD and momentum index still point to a bullish tone. But after Trump’s inauguration, investors shall closely watch any market moves and set stop-loss in advance.
Silver tracked gold, rising to around $17 after paring earlier losses. In near term, the resistance and support can be found at the 50 percent Fibonacci retracement of $17.40 since last November and support at $16.80.
 

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