Gold slips in Asia amid risk-on, Fedspeaks in focus
|Gold prices on Comex are seen making minor-recovery attempts from session troughs, although keep losses amid persisting risk-on market profile.
Gold trades below 5-DMA at $1237.67
Currently, gold trades -0.32% lower at $ 1135.25, having found solid support near hourly 200-SMA placed at $ 1234.20. Gold rallied to $ 1240 levels a day before, as the greenback suffered losses across the board amid a lack of clarity on Trump's tax policy.
However, the yellow metal failed to sustain the upside and drop sharply in Asia, as the US dollar staged a solid comeback on the back of higher treasury yields amid returning risk appetite. Also, increased nervousness ahead of a raft of Fedspeaks this week weigh down on gold.
Further, in an evidence of deteriorating investors’ confidence in gold, the world's largest gold-backed exchange-traded fund, SPDR Gold Shares, reported an outflow of 2.4 tonnes on Friday, the first in nearly four weeks.
All eyes now remain on the Fedspeaks and FOMC minutes due later this week for fresh direction on the non-interest bearing yellow metal.
Comex Gold Technical Levels
The metal has an immediate resistance at 1240 (round figure) and 1260.75 (200-DMA). Meanwhile, the support stands at 1226.82 (20-DMA) below which doors could open for 1202.10 (100-DMA).
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