Gold trades flat around USD 1185/Oz

FXStreet (Mumbai) - Gold prices continue to trade flat around USD 1185/Oz levels after recovering from the low of USD 1172.6/Oz levels seen in the previous session.

Safe haven metal awaits fresh cues

The weakness in the USD index and a rise in safe haven demand on account of Greek impasse saw the metal recover from the low of USD 1172.6/Oz. Investors now await fresh cues in the form of the European CPI figures that could affect the USD index.

However, some amount of caution is expected ahead of the FOMC rate decision tomorrow. Though, no rate hike is seen happening tomorrow, investors are likely to stay on a wait and watch mode. At the moment, the metal is being supported by a risk aversion in the Asian equities.

Gold Technical Levels

The immediate resistance is located at 1192.96 (50-DMA), above which the pair could target 1200.00. On the flip side, a break below 1183.6 (5-DMA) could push prices lower to 1172.6.

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