Gold trades weak ahead of US data

Frankfurt (Dec 15)  Gold prices hover around the day’s low after breaching the 100-DMA support during European session, as investors await the US industrial production data.

Gold now trades 0.81% lower at USD 1212.60/Oz levels, after it breached the key support levels at 1219 (100-DMA) and 1218.10 (Dec 1 close). Prices came under pressure tracking strength in the European equity markets. Meanwhile, the USD index recovered to trade 0.22% higher at 88.77 levels. Markets also await the US industrial production data, which is expected to show an expansion of 0.6% in November.

Gold Technical Levels

Gold has an immediate support located at 1203.10 (20-DMA), under which prices may test 1197 (50-DMA). Meanwhile, resistance is seen at 1219 and 1224.80 levels.

Source: FX street