Gold advance 0.4 percent

The International Monetary Fund (IMF) said it has concluded the sale of gold reserves aiming to boost the metal's finances, which accordingly, reduced the supply of the metal. Gold traded higher following the release of the news, while receiving another push as the dollar declined on the US dollar index.

The news and the inverse relationship between commodities and the dollar, forced the metal to rise further for the fourth-consecutive trading day, where gold for immediate delivery gained as much as 0.4% to trade at 1,388.85 an ounce, compared with the opening levels of 1,385.52 an ounce, while setting a high of 1,390.52 an ounce and a low of 1,385.10 an ounce.

The Dollar depreciated against six-major currencies on the US dollar index, which tracks the performance of the dollar against six-major currencies. The index opened trading at 80.48 while setting a high of 80.57 and a low of 80.44, compared with the opening levels of 80.53.

Gold futures rose by 0.03% or $0.400 to trade at 1,389.200, while Silver futures dropped by 0.05% or $0.014 to trade at 29.380 an ounce.

Major Market Movers

Data from UK and the US will seize market attention, where the BoE will release its final Minutes report this year, for December rate decision, which the bank preserved its monetary policy. Investors are looking for clues from the BoE regarding the outlook of the bank and continuing split among regulators regarding the bank's next move, accordingly, allowing them to re-adjust their positions ahead of New Year.

Growth data from UK will also capture market's attention, where it is expected to slow to 0.8 percent in the three-months ending September, compared with second quarter strong expansion rate. Furthermore, growth data from the U.S. will also be presented later this day with expectations that the US economy expanded during the third quarter by 2.8 percent, up from the previous estimate of 2.5 percent.

Other Metals

Silver sales are forecasted to rise in the upcoming period, as investors seek protection from inflation and wealth from the volatility they face in FX-exchange markets.

Silver for immediate delivery inched higher on the daily scale to trade at 29.34 an ounce, compared with the opening levels of 29.32, while touching a high of 29.39 an ounce and a low of 29.22.

Platinum for immediate delivery rose by $8.0 to trade at $1,725.00 an ounce, Palladium rose by $3.0 to trade at $751.00 an ounce.

Technical Analysis for Gold

Gold continued moving within a tight range, but trading stabilized below the pivotal resistance of 1,395.00. Thereby,the bearishness is still in favorrequiring a breakout below 1,380.00. Stochastic is moving very closer to overbought despite of the bullish crossover, which will have little effect on the metal's trading.