Gold prices inched down on Thursday as the dollar strengthened, but uncertainty surrounding the impact of Britain's departure from the European Union and upcoming French elections offered support. Gold is witnessing a correction after failing to break above its 200-day moving average around the $1,260 level, analysts said.
Spot gold was down 0.1 percent at $1,250.66 an ounce by 0726 GMT. US gold futures slipped 0.3 percent at $1,250.
"Resistance continues to be at $1,260, the 200-day moving average... $1,240 is a pivotal support in the short term. A break of $1,240 should see short-term stop-loss sellers appearing," said Jeffrey Halley, senior market analyst, OANDA.