Gold prices on Comex extends its bearish streak into a second day today, although moves away from daily lows, as the bulls find some support from ongoing weakness in the US treasury yields across the curve.
Gold bounces-off lows near 10-DMA
Currently, gold trades -0.32% lower at $ 1135.15, looking to regain $ 1240 mark. Gold trims losses, although the recovery lacks follow-through amid a lack of fresh fundamentals and thin liquidity, as the US remains on a holiday today.
From a wider perspective, gold is seen consolidating near 3-month tops and looks for the next push higher, as uncertainty over the US economic policies continue to persist in wake of Trump’s administration.
Although timing of the Fed rate hikes, especially after Fed’s Yellen hawkish testimony last week, keeps the gold investors on the edge, restricting further upmoves.
Meanwhile, the US CFTC data showed on Friday that speculators cut their net long position in COMEX gold for the first time in three weeks in the week to Feb. 14.
Comex Gold Technical Levels
The metal has an immediate resistance at 1240 (round figure) and 1261.24 (200-DMA). Meanwhile, the support stands at 1224.72 (20-DMA) below which doors could open for 1202.37 (100-DMA).