FXStreet (Mumbai) – Gold weakened to its 50-DMA located at USD 1193.20/Oz, tracking the recovery in the USD index during the European session on Monday.
Double whammy for gold
The yellow metal was offered at USD 1200 in the Asian session today as developments over the weekend increased the hopes of Greek deal. The losses were extended further in the European session as the US dollar made an unexpected recovery in the absence of a fresh fundamental catalyst.
Furthermore, the positive action in the equities across the globe also hurt the safe haven metal. Consequently, Gold dipped to its 50-DMA located at USD 1193.20/Oz, before recovering slightly to trade around USD 1195/Oz. Ahead in the day, the investors will remain focused on the outcome of the EU summit and Eurogroup meeting.
Gold Technical Levels
The metal has an immediate support at USD 1193.20/Oz (50-DMA), under which it could extend losses to 1185.00. On the flip side, a break above 1200 (hourly 50-MA) could see the metal target 1205 levels.
(Market News Provided by FXstreet)