Gold settled up 0.25% at 27258 as support seen rfom Rupee weakness while Comex Gold traded in the range with weakness as the dollar strengthened after a slew of upbeat economic data from the U. S., led by a better than expected unemployment benefit claims report and a better than anticipated retail sales growth. The precious metal was impacted by a strong dollar, even as global equity markets bounced back strongly on the back of some robust U. S. economic data. The mostly upbeat economic data from the U. S. had investors opting for the riskier equity assets, with first-time claims for U. S. unemployment benefits edging lower in the week ended December 6. Meanwhile, Business inventories in the U. S. also edged higher in October, while U. S. import prices in November declined sharply with fuel prices showing another substantial drop. Some subdued demand for longer-term loans at the ECB's second offering this month has boosted the case for a full-blown quantitative easing to meet its goal of boosting the balance sheet by EUR 1 trillion and to avert the threat of deflation in the euro area. On Wednesday, Gold ended down by $2.60 weighed down by worries over the political unrest in Greece and the Chinese government's decision to tighten short-term loans. An improvement in sentiment was seen in the holdings of SPDR Gold Trust which edged higher to 724.80 tons on Thursday, from its previous close of 721.81 tons on Wednesday. Technically market is under fresh buying as market has witnessed gain in open interest by 2.9% to settled at 9238 while prices up 67 rupee, now Gold is getting support at 27057 and below same could see a test of 26855 level, And resistance is now likely to be seen at 27410, a move above could see prices testing 27561.

Trading Ideas:

Gold trading range for the day is 26855-27561.

Gold remained steadied amid conflicting signals as the firm dollar applied pressure and weak U. S. economic data spurred safe-haven buying.

Data from the European Central Bank showed its second round of long-term loans came in at the low end of estimates.

SPDR gold trust holdings gained by 0.95 tonnes i. e. 0.13% to 725.75 tonnes from 724.80 tonnes.