Gold recovers to $ 1200, US tariffs on China loom
|- Will it sustain the bounce above $ 1200 level, as US tariffs loom.
- USD comeback on renewed US-Sino trade woes to keep gold suppressed.
Gold prices on Comex are seen struggling to extend their recovery beyond the $ 1200 barrier, as the bulls lack vigor ahead of the looming US tariffs announcement on China, which is likely to refuel the latest US dollar pull back across its main competitors.
The yellow metal breathed a sigh of relief in Asia and attempted a tepid recovery from $ 1197.50 lows, as the US dollar paused Friday’s rally and entered a consolidative mode near two-day tops of 95.00.
Moreover, the renewed weakness seen around the Treasury yields across the curve amid risk-off market environment, sparked by the renewed US-China trade concerns, also helped cushion the downside in gold.
Looking ahead, all eyes remain on the US tariffs announcement on an additional $ 200 billion Chinese imports for fresh dollar trades.
Gold Technical Levels
Resistances: $ 1210 (round figure), $ 1213.80 (2-week tops), $ 1217 (Aug 28 high).
Supports: $ 1197.50 (daily low), $ 1190.40 (Sept 11 low), $ 1185.30 (Aug 24 low).
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