Gold's struggle for clear directional continues after the People's Bank of China's interest rate decision of slight easing to 4.15%. The yellow metal has been restricted largely to a narrow range of $1500 to $1480 since last Monday and is currently trading around the $1490 per ounce, representing little change on the day. However, Gold is showing resilience by avoiding losses as usually the yellow metal drops on disappointing decisions of central bankers. The US 10-year Treasury yield is currently flat-lined around 1.75%. Interestingly, the benchmark yield is also lacking a clear directional bias since mid-October.
Gold prices are still little unchanged this morning since last week as bulls still trying to seek for a run towards the $1500 handle printing a high of $1497.22 per ounce. The price is currently trading above the $1486.98 support level as the momentum bounced back of from the bearish territory. We will be focusing on the upside if the price breaks above the $1494.87 resistance level with the upper band on our watch.
Support: 1486.98/ 1474.99
Resistance: 1494.87/ 1506.02