Gold sees moderate gains as the dollar trades flat

A flat action in the Dollar index and the treasury yields coupled with the US election-led uncertainty pushed gold moderately higher to $1284 levels in Asia. 

Rebound from 200-DMA

Prices found support at 200-DMA yesterday and inched higher in Asia as caution seeped into the financial markets ahead of the US elections. 

The economic calendar is light with just Fed’s Evans scheduled to speak. However, the Fed speak and the data are likely to be ignored by the markets. Expect a rise in volatility across the board once the exit polls start coming-in. 

Gold Technical Levels

The metal was last seen trading around $1283/Oz levels. A break above $1285.70 (Nov 3 low) would expose $1296.70 (50-DMA) and $1300 levels. On the other hand, a breakdown of support at $1278 (200-DMA) could yield a drop to $1261.90 (Oct 28 low) and $1253 levels (23.6% of 2011 high - 2015 low).