Gold prices steadied as concerns over euro zone sovereign debt and technical buying offset a stronger dollar. Gold is stabilizing from last week's significant sell-off and liquidation plunge, and investors are just taking a pause right now to determine the next direction. Demand for gold is broad-based and is unlikely to falter next year, notably due to low interest rates, ample liquidity, inflationary concerns issues relating to euro zone periphery countries and a weakening dollar. Gold opened at 20105 quickly dipping to its low of 20066 after the open. The metal rose in tandem with equities after better than expected retail sales data. Reaching its high of 20282, the metal lost its momentum with sellers taking it to its close at 20223 in quiet trading. Now support for the gold MCX is seen at 20099 and below could see a test of 19974. Resistance is now likely to be seen at 20315, a move above could see prices testing 20406.

Trading Ideas:

Gold trading range is 19974-20406.

Gold prices settled firm on concerns over euro zone sovereign debt and technical buying

Gold looks to take support at 20100 and resistance at 20315.

U. S. gold imports rose 39.7% in September from previous month.