Triland: Gold Steadies As Traders Buy Into Early Declines

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(Kitco News) - Comex gold recovered from early weakness to trade near steady not long after the pit-session close. A stronger U.S. dollar, weaker crude oil and equity markets all contributed to early-day selling of gold, says Triland Metals. “This sell-off was brief as investors continue to buy dips as all the fundamental and technical reasons to be long gold remain in place,” Triland says. “Having said this, a correction of substance cannot be ruled out as the market is starting to get a little crowded with latecomers to the party.” U.S. equities rose, although the euro and crude oil remain weaker for the day. Weekly data from the Commodity Futures Trading Commission shows speculators at their highest net length in gold  since September, with many of them new positions, Triland says. As of 1:45 p.m. EST, April gold futures were down $1.80 to $1,774.60 an ounce after an earlier low of $1,762.60. Triland puts major support around $1,738, a 61.8% Fibonacci retracement level. Resistance was pegged at $1,790 and $1,800.