28 Apr 2015
Gold struggles to extend gains above USD 1200
FXStreet (Mumbai) - Gold is having a hard time to extend gains above the USD 1200 mark, after rising more than 2% in the previous session on the back of a weak US dollar.
Focus on Fed policy statement
The metal shot higher in the previous session as investors now believe the Federal Reserve would delay the rate hike to December 2015 or early 2016. The metal clocked a high of USD 1207.2, before falling back to USD 1202-1200 levels today.
Moreover, the USD index appears to have steadied around 97.00 after recovering from the low of 96.62 seen in the previous session. Consequently, the metal has been stuck around USD 1200-1202 levels. Ahead in the data, the US consumer confidence data could influence the metal prices.
Gold Technical Levels
The immediate resistance is located at 1205.00 above which gains could be extended to 1209.92 (200-DMA). On the flip side, a break below 1200.00 could drive the prices lower to 1194.90 (10-DMA).
Focus on Fed policy statement
The metal shot higher in the previous session as investors now believe the Federal Reserve would delay the rate hike to December 2015 or early 2016. The metal clocked a high of USD 1207.2, before falling back to USD 1202-1200 levels today.
Moreover, the USD index appears to have steadied around 97.00 after recovering from the low of 96.62 seen in the previous session. Consequently, the metal has been stuck around USD 1200-1202 levels. Ahead in the data, the US consumer confidence data could influence the metal prices.
Gold Technical Levels
The immediate resistance is located at 1205.00 above which gains could be extended to 1209.92 (200-DMA). On the flip side, a break below 1200.00 could drive the prices lower to 1194.90 (10-DMA).