Gold has moved higher in early NY trade. Although the Egyptian situation is defused with the Mubarek resignation and the desolution of the governement, there are some reports of political tension in the streets of Bahrain. The Egyptian model of political freedom seems to have ignited protesters throughout the region. With increased tension comes increased interest in safe haven investments like Gold.
From a technical perspective, there remains key resistance which is being approached against the 100 day MA at the $1364.79 level. Just above that level at $1365.89 is the 50% of the move down from the January 2011 high to the January 2011 low. IF the price moves above these levels, there should be increased upward momentum
On the downside, the move higher took the price above teh 100 hour MA on the hourly chart, at the $1361 level. Staying above this level keeps the bulls in charge today.
