Gold hovers near 27-month tops amid flight to safety

Gold prolongs its upward trajectory for the sixth consecutive session on Wednesday, as investors flee to safe-havens amid broad based sell-off across the financial markets on the back of resurgence of post-Brexit concerns.

Gold flirts with $ 1370 mark

Currently, gold trades +0.54% higher at $ 1369.83, having posted day’s high at 1371.18 and day’s low at 1361.20. Gold prices hover near multi-month peaks, now gathering pace for the next leg higher, as the European traders are expected to boost the demand for the safe-haven further amid ongoing global equities meltdown, in response to looming Brexit-led uncertainty.

Moreover, the latest chatter about most major global central banks considering further stimulus measures, also supports the bullish streak seen in the yellow metal over the past once week.

Next in focus for the bullion remains the US ISM non-manufacturing PMI index ahead of the Fed Jun 15 meeting minutes, which will provide fresh cues on the US monetary policy stance in the wake of Brexit.

Gold Technical Levels                                   

The metal has an immediate resistance at 1380 (round number) and 1388.54 (Mar 2014). Meanwhile, the support stands at 1364.63 (Jul 5 High) below which doors could open for 1349.13 (5-DMA).