Gold trades flat ahead of US retail sales data

Singapore (Jan 14)  Gold prices trade flat around USD 1232/Oz levels as markets await the data in the US which is likely to show retail sales dipped in December.

The yellow metal currently trades largely unchanged for the day. The losses in the metal have been capped by the weakness in the European equities after the World bank revised its 2015 global growth forecasts lower to 3%. The weak equities in Europe also keep US index futures under pressure. The S&P 500 futures are currently down 0.60%, while the DJIA futures are down 0.64%.

The metal may extend gains if the December advance retail sales data in the US prints lower than the expected fall of 0.1%.

Gold Technical Levels

The immediate support is seen at 1228 (5-DMA), under which the metal could re-test 1225.40 levels. Meanwhile, resistance is seen at 1238.3 and 1244.56 (200-DMA).

Source: FXstreet