Gold price keeps losses near $ 1130, ECB, US data eyed

Mumbai-India (Sept 3)   Gold price on Comex keeps pushing lower around 1130 levels as markets favour the US currency awaiting the key US jobs report which may provide fresh cues on the timing of the Fed rate hike.

Gold weighed by stronger USD

Currently, gold trades -0.30% lower at 1130.10, having posted a high at 1133.80 and a low at 1128.50. Gold prices traded in a narrow range, although remains pressured on firmer greenback against the yen and the euro as risk sentiment continues to benefit the US dollar.

Also weighing on bullion was the absence of Chinese buyers. Markets in China, a major gold consumer, are closed on Thursday and Friday for public holidays.

Tepid Chinese demand during the holidays will also keep gold prices capped, along with the uncertainty over a US rate hike with the key US NFP report in sight.

Meanwhile, bullion traders remain cautious ahead of ECB meeting which may have major impact on the EUR/USD pair, eventually affecting gold prices.

Gold Technical Levels  

The metal has an immediate resistance at 1140.40 (Sept 2 High) and 1144.70 (Sept 1 High) levels. Meanwhile, support stands at 1124.80 (Aug 31 Low) below which doors could open for 1118.40 (Aug 27 Low) levels.

Source: FXstreet