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Gold back in red below USD 1200

FXStreet (Mumbai) - Gold prices on Comex shaved off overnight gains and fell back in to red below USD 1200 levels largely on profit taking after the recent strength while higher Asian equities also failed to provide support to the yellow metal.

Gold wavers in a tight band

Currently, gold trades -0.33% lower at fresh session lows at 1198.80 levels, having posted day’s high at 1201.40. Gold prices reversed previous gains and turned negative as traders resorted to profit booking after gold prices closed in green yesterday.

Moreover, rising global equities and a rebound in the US dollar also pushed gold prices lower. The US dollar index which measures the relative strength of the greenback against a basket of six major currencies trades retreated from fresh session highs and trades at 98.26 levels.

The yellow metal also remains supported amid increased prospects of a Grexit ahead of Friday’s Euro group meeting.

Gold Technical Levels

The metal has an immediate resistance at 1200 and 1205 levels. Meanwhile, support stands at 1190 levels below which doors could open for 1183.50 levels.

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