Gold muted around $ 1070, poised for 3rd annual loss

FXStreet (Mumbai) - Gold prices continued to trade within a tight range on Wednesday as the prices lacked momentum amid thin trades and a better bid US dollar.

Gold capped below hourly 100-SMA at $ 1071.24

Currently, gold trades marginally higher at 1069.60, and hovers well within previous trading range. Gold remains comatose this session, with no major catalyst seen which could provide fresh impetus to the prices.

Meanwhile, mixed sentiment on the Asian equities and broadly muted US dollar also failed to move the yellow metal on the back of low volumes as most traders are off on a Christmas-New Year holiday season.

Looking ahead, thin liquidity backed irregular volatility is likely to persist until Monday while the focus now remains on further rate increases by the Fed heading into 2016.

Gold Technical Levels

The metal has an immediate resistance at 1071.24 (1h 100-SMA) and 1074.60 (Dec 29 High). Meanwhile, the support stands at 1065.90 (Dec 28 Low), below which doors could open for 1061.50 (Dec 16 Low).

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