MARKET TALK:

Gold May Fall More, Target $1,532 - ScotiaMocatta


Gold is vulnerable to further weakness and could
target its Sep. 26 low of $1,532/oz, says ScotiaMocatta; "profit taking on
worries over IMF comments made regarding the euro crisis took gold lower." The
house tips resistance for gold at the 200-day moving average of $1,618/oz and
says that technically, gold has been oversold in the short term. For silver, it
says while the grey metal experienced a mini rally Thursday, it touched
intraday lows at $28.46/oz-$28.51/oz, tracking declines in base metals and
crude. The house tips support for silver at $26/oz, the lows touched on Sep.
26; it tips resistance at $29.74/oz, the 61.8% Fibonacci retracement of the
Sep.-Oct. uptrend, which was breached on Dec. 14. Spot gold is last at
$1,579.60/oz, up $9 and silver is at $29.40/oz, up 12 cents from its previous
close.