Gold stepped down from its recent one and a half week high on Thursday, as its safe-haven appeal waned while European equities tried hard to stay in the green and the US dollar held firm.
- Over the past few weeks, the precious metal has faced resistance around $1,100, as the prospect of a further Fed rate hike nears and a stronger US dollar suggests limited upside potential. At the same time, the greenback remained strong as the US dollar index, a virtual measure tracking the greenback's strength against its six major peers, was flat at 99.055, below its one-year high, but still high from a broader perspective. Gold and the greenback tend to inversely correlate.
- Gold is currently hovering around $1100 levels, made intraday high at $1101 levels and low at $1097 levels.
- Intraday bias remains neutral for Gold.
- Major Support falls at $1097, $1092 and $1087 levels.
- Alternatively, reversal from this level will take the parity above $1100 levels. Meanwhile, above $1107 will bring the parity towards another rise.
- Resistance levels are seen around $1107, $1112, and $1117 mark.
