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Gold steadily climbs back above $1560 level

  • Gold edges higher for the second straight session on Thursday.
  • The upside seemed unaffected by the prevailing risk-on mood.
  • Surging US bond yields, stronger USD failed to impress bears.

Gold edged higher through the early European session on Thursday and is currently placed near the top end of its daily trading range, just above the $1560 region.

Following the previous session's two-way price moves and an early dip this Thursday, the precious metal managed to catch some fresh bids and traded with a mild positive bias for the second consecutive session.

Bulls shrug off a combination of negative factors

The uptick seemed rather unaffected by improving global risk sentiment, led by some positive developments in the coronavirus saga and which tends to undermine demand for traditional safe-haven assets.

The risk-on mood-led follow-through positive momentum in the US Treasury bond yields also did little to impress bearish traders or prompt any fresh selling around the non-yielding yellow metal.

Bulls even shrugged off the prevailing bullish sentiment surrounding the US dollar, which remained supported by the incoming positive domestic data and tends to weigh on the dollar-denominated commodity.

Hence, the uptick could be attributed to some technical buying, all against the backdrop of the overnight rebound from the $1550-48 support area, warranting some caution for bullish traders.

Technical levels to watch

 

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