FXStreet (Mumbai) – The yellow metal bounced-off strong support of Wednesday’s low and recovered more than half of previous slide as the cautious trades on the European equities boosts the safe-haven bids for the bullion.
Gold hovers around hourly 50-SMA
Currently, gold trades 0.14% higher at 1174.60, having posted session highs at 1175.30. Gold keeps the bid tone intact, although consolidates the steep rise ahead of the much-awaited US economic data and the Fed Chair Yellen’ speech due later today.
Further supporting the recovery in gold prices, the European stocks trade in the red amid weak economic news from Germany and the Eurozone. While broad based US dollar weakness also continues to underpin the gold prices.
In the day ahead, the yellow metal will track the sentiment on the US equities while a slew of Fed speaks will be eyed with Yellen’s speech expected to hog the limelight.
Gold Technical Levels
The metal has an immediate resistance at 1177.56 (hourly 100-SMA) and 1180 (round number). Meanwhile, support stands at 1166.12 (hourly 200-SMA) below which doors could open for 1161.23 (200-DMA).
(Market News Provided by FXstreet)