Gold prices edged higher Thursday on rising safe-haven demand as the dollar declined and world shares slipped following renewed worries about China's economy. Exports in September declined 10% in September from a year earlier, the lowest since February, data from the General Administration of Customs showed. Imports also declined 1.9 percent in September. The trade surplus was $41.989 billion. The dollar index was down 0.3 percent, sending gold 0.3 percent higher at $1,257.60 an ounce. The yellow metal continued to consolidate under $1,260.

On chart, gold continued to consolidate under the 200-day moving average. The Bollinger bands showed the 20-day moving average further moved down to $1,290, with its lower bands breaching below $1,230. Despite that the MACD index showed a possible rebound in near term, its strength will be curbed by the resistance of the 20-day moving average, that is likely to send gold sharply lower in coming sessions.
 

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