Gold back above $1,200 after strong reversal

FXStreet (Córdoba) - Spot gold extended the recovery in New York and climbed to $1,208.90/oz, reaching a fresh daily high. After bottoming at $1,183 the price of the yellow metal rose $25 making a strong reversal.

Ahead of the last hours of trading in the US, gold remains near the highs trading around $1,206; the same level it had before the release of the US employment report last Friday as the USD pulls back across the board.

XAU/USD was having so far the best day in more than a month, moving away from a key support level located around $1,180 (2013 lows), but on a wider perspective the trend is still bearish.