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Gold likely to retest USD 1300

FXStreet (Mumbai) - Gold prices on Comex heads higher to retest 1300 levels, having failed several attempts to defend gains above the 1300 threshold.

Currently, gold trades higher by 0.13% at 1295.30 levels, consolidating above 1294 levels since couple of hours. Gold headed towards fresh 5-month highs after Syriza victory in the Greek parliamentary snap elections fuelled concerns that Greece could default on its debt, and, ultimately, exit the euro zone.

Moreover, in an evidence of increased investor confidence in the yellow metal, holdings in the SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, rose 0.16 percent to 741.65 tonnes on Friday.

Gold Technical Levels

The metal has an immediate resistance at 1300 and 1320 levels. Meanwhile, support stands at 1290 levels below which doors could open for 1287.55 (10-DMA) levels.

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