Gold firmer above $1,210, USD weaker

The ounce troy of the precious metal stays in the upper end of the recent range, posting moderate gains above the key $1,200 mark.

Gold bid on USD-selling

The demand for the yellow metal remains firm at the beginning of the week, propped up by the persistent offered bias around the greenback.

USD met extra selling pressure following the speech by President Donald Trump at his inauguration on Friday, where he delivered a protectionist message. Uncertainty around Trump’s administration and its ability to deliver his promises – particularly regarding fiscal stimulus in order to boos the economy -  is poised to remain the exclusive catalyst for the metal’s price action, at least in the very near term.

Gold has so far resumed its upside, advancing in four of the last five weeks and extending the bounce off December lows near the $1,120 area.

Gold key levels

As of writing Gold is gaining 0.63% at $1,212.45 and a breakout of $1,219.25 (high Jan.23) would open the door to $1,226.21 (100-day sma) and finally $1,229.30 (high Nov.16). On the other hand, the next support is located at $1,195.80 (low Jan.19) followed by $1,182.27 (61.8% Fibo of the 2016 up move) and then 1,176.80 (55-day sma).