Gold is slightly lower in Asia-Pac trade,......>

GOLD: Gold is slightly lower in Asia-Pac trade, the yellow metal last down $0.48

at $1266.12. While gold has dipped slightly on Friday, it is on track for a

weekly gain currently up 0.76% which would denote the second successive weekly

rise. 

- Gold has dropped after a wave of positive sentiment following the passage of a

bill that will fund the government until January 19 and avert a government

shutdown. The bill will also expidite the tax bill as it contains a provision to

waive automatic spending cuts.

- Gold is being pressured by a higher dollar, DXY last up 0.13 at 94.00.

- MNI technical analysis sees support at $1259.2 - Low Dec 19, resistance is

seen at $1269.9 - Low Nov 14 now resistance. Correcting O/S studies provided the

impetus for a correction back towards layers of resistance $1269.9-1289.5 where

DMAs and bear channel top are noted. Layers of support have accumulated with

bears needing a close below $1259.2 to gain breathing room, below $1249.2 to

shift immediate focus to $1235.9 and overall focus to $1204.6-1214.0. Bulls need

a close above $1269.9 to add to confidence.