Gold and silver stage strongly rally helped by value buying but dollar strength caps gains.
BofA Merrill Lynch analysts say next level to watch is Triangle support at $1269.
Gold has fallen to a two-month low on Thursday as the FOMC minutes on Wednesday showed the US policymakers have started debating prospects of an earlier rate hike.
Standard Chartered becomes the third foreign bank to be granted a gold import license by China.
Safe haven flows and short covering have strengthened gold to a 20-day high, even as silver has fallen to a 50-day low. Platinum and palladium have rallied since 5 August.
US Fed Reserve FOMC meeting and Middle East geopolitical tensions will also influence prices.
Upbeat manufacturing PMI data from China and eurozone strengthen risk appetite.
Speculators\' net buy positions rise to 18-month high of 150,021 in gold.
Commerzbank predicts gold prices to rise to $1,350 per troy ounce by end-2014.
A break of $1315 will increase risks of a continuation of the upward trend, and the second wave may find channel resistance above $1360.
Precious metals declined on Monday as fears that the funding issues at Banco Espirito Santo might spill over into the wider Eurozone banking system eased.
US Fed chief Janet Yellen\'s Congress testimony next week could also influence prices.
Jaitley says New Delhi has to be watchful of India\'s current account and fiscal deficits.
Gold hovers at three-and-a-half month high thanks to the funding crisis at the Portuguese Bank Espirito Santo.
Import tax on gold remains at record-high 10%.
India could ease gold import curbs as Narendra Modi puts public and trade over economics.
Gold reverses previous day\'s losses after US jobs data reflecting yellow metal\'s inherent strength.
With the recent price moves, the metal has shaped a flag pattern and is now testing resistance at $1334.50.
Gold rose to its highest since 24 March as uncertain growth outlook for the US weakened the dollar, increasing the investment appeal for the assets denominated in the greenback.
Gold prices have risen some 2.4% in Q2.