Gold strongly bid near $ 1183 on safe-haven appeal

FXStreet (Mumbai) – Gold prices on Comex extends its upward moves and climbs further in the early European trades, largely boosted by safe-haven demand amid the ongoing Greek drama with markets expecting Greece to default on its debt obligations to IMF due tomorrow which spurred risk-aversion across the board.

Gold supported above $ 1180

Currently, gold trades 0.87% at 1183.40, having posted day’s high at 1186.60. Gold prices jolted higher this session following escalating Greece stand-off with traders nervous over a Greek bailout and a likely default. Greek woes have fuelled a generalized risk-off scenario, with traders flocking to safety bets such as gold.

Moreover, broad based sell-off across the financial markets also keeps the yellow metal buoyed. Meanwhile, the US dollar index, measuring the relative strength of the greenback against a basket of six major currencies, trades 0.75% higher at 96.32.

Later in the day, traders will track Greece update along with US dollar moves ahead of US pending home sales data amid a data-light trading session today.

Gold Technical Levels

The metal has an immediate resistance at 1190 and 1195 levels. Meanwhile, support stands at 1179.40 below which doors could open for 1175 levels.

Gold prices on Comex extends its upward moves and climbs further in the early European trades, largely boosted by safe-haven demand amid the ongoing Greek drama with markets expecting Greece to default on its debt obligations to IMF due tomorrow which spurred risk-aversion across the board.

(Market News Provided by FXstreet)