Gold futures on Comex found fresh bids near 1189 region and climbs back higher in a bid to retest fresh multi-month highest reached just ahead of $ 1201.
Gold trims losses and heads towards $ 1200
Currently, gold fell -0.28% to 1194.60, recovering from session lows struck at 1188.90 in opening trades. Risk-aversion persisted across the financial markets in full swing amid falling global equities, which boosted the safe-haven appeal and drove the bullion to the highest levels since June 2015 at 1201.20 in overnight trades. Meanwhile, the US dollar index trades 0.15% higher at 97.10.
During the Asian hours this Tuesday, the prices retreated from half-yearly tops and bottomed near 1189 levels, before finding renewed impetus from the heavy sell-off in the Japanese and Australian stocks, which once again increased the safe-haven bids for the precious metal.
Attention now shifts towards the Fed Chair Yellen’s testimony on the Semi-annual Monetary Policy Report before the Senate Banking Committee due on Wednesday, as the trading calendar remains fairly light for today, with the only JOLTS jobs openings data on the cards.
Gold Technical Levels
The metal has an immediate resistance at 1200 (psychological levels) and 1204 (May 31 High). Meanwhile, the support stands at 1188.90/1185.63 (daily low/ pivot) below which doors could open for 1180 (round number).
(Market News Provided by FXstreet)