Gold bounces-off $ 1170.80

FXStreet (Mumbai) – Gold prices on Comex extends its descent in the European session, although bounced-off session lows near 1170 – key levels, as a firmer greenback across the board offset safe-haven bids for the metal spurred by the Greek crisis.

Gold pressured by stronger USD

Currently, gold trades -0.59% at 1172.20, having posted day’s low at 1170.80 and day’s high at 1180. Gold prices keeps its downside momentum intact as traders turned towards the reserve currency as risk-off moods on Greece faded.

The US dollar index, measuring the relative strength of the greenback against a basket of six major currencies, trades 0.24% higher at 95.31. A stronger greenback makes dollar-priced in commodities expensive for the holders in other currencies.

However, the ongoing Greek saga continues to cushion the downside in gold prices, raising safe-haven appeal for the metal as it is always supported during times of political and economic uncertainty.

The highlight of the upcoming week in terms of macro-economic releases will be Thursday’s US non-farm payrolls data for June, which will shed more light on the pace of the economic recovery.

Gold Technical Levels

The metal has an immediate resistance at 1180 and 1185 levels. Meanwhile, support stands at 1170 below which doors could open for 1167.10 levels.

Gold prices on Comex extends its descent in the European session, although bounced-off session lows near 1170 – key levels, as a firmer greenback across the board offset safe-haven bids for the metal spurred by the Greek crisis.

(Market News Provided by FXstreet)