Gold regained positive traction on Monday

Gold built on its steady intraday ascent and climbed to fresh daily tops, around the $1,780 region during the early European session. The precious metal caught some fresh bids on the first day of a new trading week and recovered further from two-week lows, around the $1,756 region touched last Thursday. This marked the first day of a positive move in the previous three trading sessions and was supported by a combination of factors.

The US dollar struggled to capitalize on last week's goodish rebound from the lowest level since February 26 amid expectations that the Fed will keep interest rates low for a longer period. This, in turn, was seen as a key factor that extended some support to the dollar-denominated commodity. From a technical perspective, any subsequent strength is likely to confront stiff resistance near the 100-day SMA, around the $1,786 region. This is followed by the recent swing highs, around the $1,796-98 region, which if cleared decisively should set the stage for additional gains in the near term.