FXStreet (Mumbai) – Gold prices snapped two day rally to hit a session low at its 10-DMA located at USD 1180.40/Oz as the USD strengthened against the basket of currencies in the European session.

Rejected at USD 1188

The metal turned lower from the high of USD 1188/Oz mainly on account of an uptick seen in the USD index. The index recovered from the low of 94.59 to trade at 95.18, up 0.62% on the day. Consequently, the metal now trades 0.51% at USD 1180.40/Oz.

The metal also lost value on account of the strength seen in the major European equity markets. The Dax currently trades 0.83% higher, while the London’s Ftse has gained 0.50%. However, the losses have been relatively less on account of a safe haven demand amid the ongoing deal no deal Greek saga.

Gold Technical Levels

The immediate support is seen at 1180.40 (10-DMA), under which losses could be extended to 1169.6 (May. 1 low). On the other hand, a break above 1188.00 could push the metal higher to 1194.50 (50-DMA).

Gold prices snapped two day rally to hit a session low at its 10-DMA located at USD 1180.40/Oz as the USD strengthened against the basket of currencies in the European session.

(Market News Provided by FXstreet)

By FXOpen