24 Mar 2015
Gold eyes USD 1200, US data awaited
FXStreet (Mumbai) - Gold prices on Comex reversed previous losses and edged higher during the European session, as the gold bulls jumped back in to the bids on a broad USD weakness ahead of more US economic data that may reinforce expectations of the Fed hiking up its rate in September.
Gold supported above 1190
Currently, gold climbed 0.24% higher to 1190.60 levels, bouncing-off fresh three-week highs previously posted at 1192. Gold prices remained boosted by the falling US dollar, with traders awaiting more US economic data to gauge the pace of the nation's economic recovery.
The US dollar index which measures the relative strength of the greenback against a basket of six major currencies drops to 97.07 levels, recording a -0.17% loss on the day. Moreover, gold prices are likely to remain supported above 5-DMA located at 1082.64 levels and shrugged of weaker Chinese Manufacturing PMI data which stood at a 11-month low.
Meanwhile, traders will be eyeing US CPI data which may reveal an annual rate of -0.1%, while consumer prices excluding energy and food are forecast to rise 1.7% year-on-year. Also, manufacturing PMI for March as well as February's new home sales report will be published, with both indicators likely to reveal a worsening.
Gold Technical Levels
The metal has an immediate resistance at 1200 and 1207 levels. Meanwhile, support stands at 1182.64 (5-DMA) levels below which doors could open for 1176 levels.
Gold supported above 1190
Currently, gold climbed 0.24% higher to 1190.60 levels, bouncing-off fresh three-week highs previously posted at 1192. Gold prices remained boosted by the falling US dollar, with traders awaiting more US economic data to gauge the pace of the nation's economic recovery.
The US dollar index which measures the relative strength of the greenback against a basket of six major currencies drops to 97.07 levels, recording a -0.17% loss on the day. Moreover, gold prices are likely to remain supported above 5-DMA located at 1082.64 levels and shrugged of weaker Chinese Manufacturing PMI data which stood at a 11-month low.
Meanwhile, traders will be eyeing US CPI data which may reveal an annual rate of -0.1%, while consumer prices excluding energy and food are forecast to rise 1.7% year-on-year. Also, manufacturing PMI for March as well as February's new home sales report will be published, with both indicators likely to reveal a worsening.
Gold Technical Levels
The metal has an immediate resistance at 1200 and 1207 levels. Meanwhile, support stands at 1182.64 (5-DMA) levels below which doors could open for 1176 levels.