Gold extends range-bound action around 200-DMA

Gold held steady with marginal gains and extended the recent consolidative phase around the very important 200-day SMA.

Currently trading around $1269 level, the prevalent risk-off sentiment is boosting the precious metal's safe-haven appeal and assisting to reverse part of Wednesday's retracement from three-week highs. 

After dropping to multi-month lows during early part of October, the yellow metal has been consolidating around 200-day SMA and struggled for a firm direction as investors awaited for further clarity over the timing of next rate-hike action by the US Federal Reserve and US presidential election next month.

In the meantime, macroeconomic releases from the US might provide short-term trading opportunities for bullion traders. US economic docket features the release of monthly durable goods orders on Thursday, while the quarterly GDP print for Q3 2016 is slated for release on Friday.

Technical levels to watch

From current levels, 200-day SMA near $1270 region might act as immediate hurdle above which the metal is likely to aim back towards multi-week highs resistance near $1275-76 region. On the flip side, $1264 is likely to protect immediate downside, which if broken could drag the immediately towards $1250 strong horizontal support.