Gold clings to gains near $1,220/oz

The ounce troy of the precious metal is posting moderate gains on Wednesday, reverting part of yesterday’s sharp pullback around the $1,220 area.

Gold firmer on USD-selling

The demand for the yellow metal staged a decent rebound today on the back of a renewed selling sentiment around the greenback.

Gauged by the US Dollar Index (DXY), the buck is so far reverting a positive start of the week, although it manages well to keep the trade above the critical 99.00 handle for the time being.

Rising speculations of a Fed’s rate hike at the June meeting keep weighing on Bullion, which remains near the area of 2-month lows seen yesterday around $1,215 per ounce.

Gold key levels

As of writing Gold is gaining 0.45% at $1,221.74 and a break above 1,225.57 (100-day sma) would expose $1,228.70 (high May 9) and finally $1,241.70 (high May 4). On the other hand, the next down barrier lines up at $1,214.70 (low May 9) seconded by $1,196.20 (low Mar.10) and then $1,185.60 (low Jan.26).