Gold prices are currently still stable and have had no meaningful upheaval.Jakarta, March 21 (ANTARA)- Amid the uncertainty of conditions in the financial market and the global economy, Ariana Nur Akbar, Research & Analysis Division of PT Monex Investindo Futures, believes gold can still become a "safe haven" for investors.
Akbar said here on Wednesday that gold prices are currently still stable and have had no meaningful upheaval.
"This happens due to the strengthening of the U.S. dollar in connection with the improvement of the U.S. economic outlook and the decline of crude oil prices, which indirectly affects the gold price," Akbar noted.
Akbar also said that the potential slowdown in China`s economic growth preceded the uncertainty of the global economy.
"The fear of a potential slowdown in China`s economic growth led to a strong reaction over the decline of gold prices," he confirmed.
In addition, the U.S. dollar strength over gold prices still depends on the recovery of the current housing market. The important data that should be watched are Existing Home Sales, which have the potential to induce an appreciation of the U.S. dollar and suppress gold prices.
The gold prices, he cited, still declined to meet the level of purchasing activity in line with the support level at approximately US$1.63 thousand per troy ounce up to US$1.611 thousand per troy ounce.
Meanwhile, the resistance level will be in the range of US$1.673 thousand per troy once and US$1.685 thousand per troy ounce, Akbar added. (*)
Editor: Heru Purwanto
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