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Gold recovery stalled near the 23.6% retracement

FXStreet (Mumbai) - The recovery in the gold prices stalled in Asia near the 23.6% fib retracement of July to Oct rally located at USD 1163.57/Oz levels.

Gains erased

The moderate gains have been erased in early Europe. The metal now trades around USD 1159/Oz levels after having been rejected at the high of USD 1162.70. Moreover, the Treasury yields remain near NY session highs, keeping the USD on strong footing and capping gains in gold prices.

The immediate focus now is on the sentiment in the European stock markets. Later in the day, the preliminary Q3 US GDP may influence Fed rate hike bets and influence the yellow metal.

Gold Technical Levels

The immediate resistance is located at 1171.94 (200-DMA), above which the prices could revisit the previous session’s high at 1183.00. On the other side, support is seen at 1146.25 (38.2% of Jul to Oct rally) and 1141.37 (50-DMA).

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