Gold slips to daily low below 200-DMA

After riding the 200-DMA as a support for the past few days, the precious metal came under pressure during the NA session as the greenback  – measured by the US Dollar Index – rose to its two-week high at 100.40 amid rising bond yields.

Furthermore, the improved market sentiment hurt the demand for the yellow metal which is considered to be a traditional safe-haven asset. U.S. stocks on Thursday rose, led by the positive GDP figures from the United States and rising crude oil prices.

US: Real GDP increased at an annual rate of 2.1% in the fourth quarter of 2016

WTI jumps above $50 for the first time in three weeks

On Friday, the participants will be keeping a close eye on the Core Personal Consumption Expenditure data accompanied by the Personal Income/Spending figures from the United States. Also, month end flows could bring volatility to the markets before we wrap up the week.

Technical outlook

As of writing, the XAU/USD is at $1244.82 facing the first resistance at $1247 (200-DMA) followed by $1250 (Mar. 29 high) and 1261 (Mar. 27 high). On the downside, supports are aligned at $1241 (Mar. 24 low), $1232 (50-DMA) and $1227 (Mar. 21 low).