Gold off highs, retreats to sub-$1,230 area

• The precious metal starts the week on a firm note.
• Gold’s upside so far capped around $1,233/oz.
• US ISM Manufacturing next of relevance in the markets.

After clinching tops near $1,233, the ounce troy of the precious metal has now come under some selling pressure following the rebound in the buck.

Gold looks to risk trends, US data

The yellow metal picked up extra traction and managed to clinch fresh 2-month tops in the boundaries of $1,233 per ounce in response to the initial weak tone surrounding the greenback.

In fact, the buck edged lower during early trade following easing concerns on the US-China trade front after the Trump-Xi 90-day truce reached at the G20 event over the weekend.

Looking ahead, today’s up move in Gold should be under scrutiny in light of the upcoming key US ISM manufacturing and critical FOMC speakers, including Clarida, Brainard, Quarles and Williams.

Gold key levels

As of writing Gold is gaining 0.51% at $1,228.48 and a breakout of $1,232.30 (high Dec.3) would open the door to $1,243.73 (high Oct.26) and finally $1,257.81 (200-day SMA). On the flip side, the next up barrier is located at $1,220.04 (21-day SMA) followed by $1,196.29 (monthly low Nov.13) and then $1,180.74 (monthly low Sep.28).