Gold flirts with $ 1200 amid risk-off, Fed in focus

Gold prices on Comex pause its recovery mode seen so far this session, as the bulls take a breather amid a cautious tone prevalent in the markets.

Gold awaits Fed

Currently, gold remains keeps losses around $ 1200.65, reversing from daily tops reached at $ 1201.20. The recovery in the yellow metal was fuelled by negative sentiment seen around the Asian indices, while stalled USD buying against most major also led the prices higher from a dip to $ 1197 levels.

In the day ahead, the bulls may regain momentum as the Dutch head for general elections. Also, the bullion may find some support from markets adjusting their positions ahead of the Fed decision. The FOMC is expected to raise rates by 25bps an upward revision to the Dot Plot. Besides, the release of the US President Trump’s tax returns will be also closely eyed for fresh take on the USD price-action.

Comex Gold Technical Levels                                  

The metal has an immediate resistance at 1210 (zero figure) and 1221.88 (50-DMA). Meanwhile, the support stands at 1200 (key support) below which doors could open for 1195.31 (100-DMA).