Dollar starts week just off recent 20year high against peers
Momentum clearly favours further downside in gold analyst
Gold prices touched lowest since Feb. 4 on Friday

May 16 Reuters Gold prices edged down in choppy trading on Monday as a strong dollar hurt demand for the greenbackpriced metal and set it on course for a more than threemonth trough hit in the previous session.

However, a fall in benchmark U.S. 10year Treasury yields limited losses in zeroyield gold, helping keep prices above the key psychological support level of around 1,800 per ounce.

Spot gold was down 0.1 at 1,808.61 per ounce, as of 0539 GMT. U.S. gold futures dipped 0.2 to 1,804.80.

With 1,800 being such a big round number, it39;s natural for it to provide some level of support as some traders try to be brave and buy a dip, whilst others close out profitable shorts, City Index39;s senior market analyst Matt Simpson said.

Marking a fourth straight weekly decline, gold prices on Friday fell more than 1 to 1,798.86 per ounce, before closing at 1,811.15.

But it39;s not looking great for gold bugs right now. Even if we do see a bounce from 1,800, the momentum clearly favours a further downside, Simpson said.

Concerns around global growth helped the dollar start the week just off a 20year high against its peers, making rival safehaven gold less attractive for buyers holding other currencies.

Inflation will need to move lower for several months before Federal Reserve officials can safely…