9 Dec 2014
Gold struggles above USD 1200 levels
FXStreet (Mumbai) - Gold prices on Comex erased overnight gains from US session and manage to trade above USD 1200 levels in early Asian trading, after renewed strength in the US dollar weighed on the metal.
Currently, gold prices trade at USD 1200.80/Oz, 0.49% higher than yesterday’s close of USD 1194.90/Oz. Gold prices rallied firmly in the US trading after equities fell globally and concerns over global economic recovery resurfaced, boosting the metal’s appeal as a safe-haven.
However, the yellow metal failed to sustain gains today as a stronger dollar continue to weigh amid falling oil prices which hurt gold's appeal as a hedge against oil-led inflation.
Gold Technical Levels
The metal has an immediate resistance at 1202.53 (10-day SMA), above which gains could be extended to 1208.50 (Dec 5 High) and 1212.60 (Dec 2 High) levels. Meanwhile, support stands at 1198.44 (20-day SMA), below which doors could open for 1195.66 (200-day SMA)) and here to 1187.30 (Dec 8 Low) levels.
Currently, gold prices trade at USD 1200.80/Oz, 0.49% higher than yesterday’s close of USD 1194.90/Oz. Gold prices rallied firmly in the US trading after equities fell globally and concerns over global economic recovery resurfaced, boosting the metal’s appeal as a safe-haven.
However, the yellow metal failed to sustain gains today as a stronger dollar continue to weigh amid falling oil prices which hurt gold's appeal as a hedge against oil-led inflation.
Gold Technical Levels
The metal has an immediate resistance at 1202.53 (10-day SMA), above which gains could be extended to 1208.50 (Dec 5 High) and 1212.60 (Dec 2 High) levels. Meanwhile, support stands at 1198.44 (20-day SMA), below which doors could open for 1195.66 (200-day SMA)) and here to 1187.30 (Dec 8 Low) levels.