25 Mar 2015
Gold: Supported by 5-DMA
FXStreet (Mumbai) - Gold prices declined in the Asian session, although the metal has been able to sustain above the 5-DMA located at USD 1188.02/Oz levels.
Gains capped by rebound in USD
The metal came under pressure, tracking the strength in the USD. The mixed CPI report, manufacturing data and the new home sales data released on Tuesday helped the USD recover ground against the major currencies. Consequently, Gold struggled to extend gains beyond USD 11912 levels.
Gold is likely to take cues from the movement in the USD index throughout the European session. A strong German IFO data could weaken the USD, thereby supporting the yellow metal.
Gold Technical Levels
The metal currently trades at USD 1189.4/Oz. The immediate support is seen at USD 1118.02 (5-DMA), under which prices could drop to 1185.6. On the other hand, a break above 1195.3, could push gold prices higher to 1200.00 levels.
Gains capped by rebound in USD
The metal came under pressure, tracking the strength in the USD. The mixed CPI report, manufacturing data and the new home sales data released on Tuesday helped the USD recover ground against the major currencies. Consequently, Gold struggled to extend gains beyond USD 11912 levels.
Gold is likely to take cues from the movement in the USD index throughout the European session. A strong German IFO data could weaken the USD, thereby supporting the yellow metal.
Gold Technical Levels
The metal currently trades at USD 1189.4/Oz. The immediate support is seen at USD 1118.02 (5-DMA), under which prices could drop to 1185.6. On the other hand, a break above 1195.3, could push gold prices higher to 1200.00 levels.