FXStreet (Mumbai) – Gold prices on Comex dropped in Asia, having failed to reclaim 1100 threshold in the previous session, as sliding Asian equities and broadly softer greenback offers little support to the yellow metal.
Gold supported at 1092.10 levels
Currently, gold trades -0.19% lower at 1094.80, recovering from session lows printed at 1092.10. Gold struggles below 1100 levels as the US dollar halted its previous downslide and trades muted across its major counterparts, keeping the yellow metal slightly undermined.
The US dollar index, a virtual gauge of greenback’s strength, trades modestly flat at 96.58. A stronger greenback makes dollar-priced in gold more expensive to holders on other currencies and vice-versa.
The attempt to find a floor in the price of gold above the recent five-plus-year low came into jeopardy on Monday, as traders remain wary of holding the metal ahead of a key US central bank meeting and fresh macro-data later in the week.
Gold prices also pared gains on Monday after upbeat US macro data further bolstered Sept rate-hike expectations with any hint on the timing of rate-hike awaited from Wednesday’s Fed decision.
Gold Technical Levels
The metal has an immediate resistance at 1100 and 1105 levels. Meanwhile, support stands at 1090 below which doors could open for 1085 levels.
(Market News Provided by FXstreet)