FXStreet (Mumbai) – Gold prices on Comex wiped out gains and turned negative once again during the mid-European trades as rate hikes prospects in the US creating deflationary pressures on heavy metals continue to keep the bullion undermined.
Gold prices rejected at $ 1108
Currently, gold trades modestly flat at 1106, retracing from 1108 highs. Gold saw its biggest one-day drop in months on Monday as the precious metal plummeted more than $60 to 1,087 – the lowest level since the beginning of 2010 and fresh five-year lows.
However, the price managed to crawl back above the 1,100 levels and gold was seen trading around 1,106, correcting heavy losses seen on Monday.
Markets now await fresh cues from the week ahead as today economic calendar offers little on cards while gold is likely to be influenced by US dollar moves.
Gold Technical Levels
The metal has an immediate resistance at 1108 and 1112 levels. Meanwhile, support stands at 1087 below which doors could open for 1080 levels.
(Market News Provided by FXstreet)