On Thursday gold for delivery in December traded within the range of $1,069.20-$1,074.20. Futures closed at $1,070.80, ticking up a meager 0.03% on a daily basis, while marking its second gain this week. The precious metal is headed for its sixth consecutive weekly decline, while being 6.58% down so far in November.
On the Comex division of the New York Mercantile Exchange, gold futures for delivery in December were losing 0.32% on Friday to trade at $1,066.60 per troy ounce. The precious metal went down as low as $1,065.60 earlier today, overcoming the lower range breakout level (S4). It has been the lowest price level for the commodity since November 18th, when it registered a daily low of $1,064.00, also the lowest since February 10th 2010. November 18th low will probably act as a level of support for the metal, in case it continues to trade close to the oversold area of the 14-period RSI.
The 4-hour time frame for gold shows a double top bear flag formation (with the two peaks being on November 20th and on November 25th, respectively), which may signal a continuation of the move to the downside. In case the low from November 18th is broken, the commodity will probably target the February 10th 2010 low of $1,063.30 per troy ounce.
The vast string of macroeconomic reports, released by the United States on Tuesday and Wednesday, seemed to support the US dollar, as the data bolstered the prospects of a rate hike by the Federal Reserve Bank at the December 15th-16th policy meeting. These prospects continue to mount pressure on the yellow metal, as higher interest rates tend to trim the appeal of gold as an asset.
Daily and Weekly Pivot Levels
By employing the Camarilla calculation method, the daily pivot levels for gold are presented as follows:
R1 – $1,071.26
R2 – $1,071.72
R3 (range resistance) – $1,072.18
R4 (range breakout) – $1,073.55
S1 – $1,070.34
S2 – $1,069.88
S3 (range support) – $1,069.42
S4 (range breakout) – $1,068.05
By using the traditional method of calculation, the weekly pivot levels for gold are presented as follows:
Central Pivot Point – $1,077.60
R1 – $1,091.20
R2 – $1,106.00
R3 – $1,119.60
S1 – $1,062.80
S2 – $1,049.20
S3 – $1,034.40
TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover 
