Gold eases below $ 1250 in Asia, US GDP eyed

Gold prices on Comex ease in Asia this Thursday, extending retreat from near one-month tops, with the bears taking the rate back below $ 1250 barrier.

Gold heads towards 200-DMA at $ 1243.52

Currently, gold drops -0.38% to fresh session lows of $ 1248.50, having failed to sustain at higher levels near $ 1254 region. Gold prices returned to the red after a temporary reversal seen yesterday, after the impending uncertainty over Brexit talks, French elections and Trump administration’s policies boosted the safe-haven bids for the metal.

Gold is seen accelerating to southwards amid broad based US dollar strength, as the treasury yields move up in the wake of recent series of upbeat US fundamentals and hawkish Fedspeaks, both advocating tighter pace of monetary policy tightening by the Fed this year.

Markets now shift their focus on the upcoming US GDP, employment claims data and Fed member Kaplan’s speech, as dust settles over the Brexit trigger aftermath.

Comex Gold Technical Levels                                  

The metal has an immediate resistance at 1253.24 (5-DMA) and 1257.70 (Mar 27 high). Meanwhile, the support stands at 1243.52 (200-DMA) below which doors could open for 1240 (round number).