Gold: Upside capped below $ 1205 post-mixed China data

Gold prices on Comex met fresh sellers just below $ 1205 once again, following the release of unimpressive Chinese data flow.

Gold clings to $ 1200 support

Currently, gold remains better bid at $ 1203.65, trying hard to regain $ 1205 barrier amid re-emergence of China slowdown concerns, after the Chinese economic releases came in mixed and cast doubts over the demand for gold from the world’s biggest yellow metal consumer, China.

However, the sentiment around the bullion remains underpinned amid a broadly subdued US dollar and political uncertainty across the globe, with the Dutch elections on tap this Wednesday, alongside the FOMC decision, while Brexit jitters coupled with rising concerns surrounding the French election also offer the safe-haven gold some support.  

On the data-front, we have the US PPI lined up for release later on Tuesday, which will have a major impact on the US dollar, eventually on the USD-sensitive gold.

Comex Gold Technical Levels                                  

The metal has an immediate resistance at 1210 (zero figure) and 1221.88 (150-DMA). Meanwhile, the support stands at 1200 (key support) below which doors could open for 1195.31 (100-DMA).