Gold jumps to session high after US data, eyeing FOMC for fresh impetus

After an initial dip to $1315 region during Asian trading session, Gold recovered its lost ground and inched higher to currently trade at session high level ahead of FOMC decision. 

The yellow metal gained traction during early NA trading session as the US Dollar weakened after the release of disappointing US durable goods order data. However, the greenback's near-term direction would remain dependent on the Federal Reserve's monetary policy statement, which if fails to provide any clues over the timing of next Fed rate-hike action. 

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Meanwhile, the ongoing bullish momentum for the precious metal is solely driven by weakness in the US Dollar as buoyant sentiment surrounding global equity markets is not supportive of the commodity's ongoing bullish momentum. Hence, the momentum could fizzle quickly should the greenback manages to stage even a minor recovery.

Technical levels to watch

Should the metal manages to sustain its current momentum, it seems to aim towards testing 20-day SMA resistance near $1335-36 region, above which the bullish momentum could further get extended towards $1350 strong resistance. 

On the flip side, $1315 level now seems to have emerged as immediate support, which if broken is likely to trigger a fresh leg of downfall, even below $1305-1300 support area, towards 50-day SMA support near $1290 region.