LONDON (Commodity Online): Comex February Gold has hit its highest level since mid-December, trading up to $1,677.90 an ounce before pulling back to $1,673.50 as of 9:40 a.m. EST, still a gain of $9.50 for the day, said Sterling Smith, market analyst and commodity trading adviser with Country Hedging.
“Trade is a little slow due to the Chinese New Year. However, the softer dollar is working to help support gold this morning,” smith added.
Smith puts a pocket of resistance in the area around $1,670 to a few dollars higher. If prices can’t generate further upside momentum, there is the risk of a profit-taking pullback. He puts trendline support around $1,649, with further support at $1,590.
March silver, meanwhile, has traded as high as $32.775 an ounce, its strongest level since Dec. 8. It was up 62 cents to $32.305. The March dollar index was .0451 point lower at 79.955.
