Gold pared early gains on Friday, on track to break a nine-day streak lower despite the dollar's extended rally as the precious metal market appeared reluctant to extend losses ahead of the U.S. Federal Reserve meeting next week.
Spot gold traded above $1,154 an ounce in technically oversold territory on the 14-day relative strength index at 25.6.
U.S. gold for April delivery settled up 50 cents at $1,152.40 an ounce.
The metal was headed for its sixth weekly loss in the past seven, down 1 percent so far and having hit its lowest in more than three months at $1,147.10 on Wednesday.
"It's almost like it's confused. It looks like it's trying to find itself,'' said Teddy Sloup, senior market strategist for iiTrader in Chicago.
Gold has taken a beating since a stronger than expected U.S. jobs report last week stoked speculation the Federal Reserve would raise interest rates soon. The next focus will be the Fed's policy-setting committee meets on March 17 and 18.
