FxWirePro- Currency Strength Index (4- Hour chart)- Currency pairs to watch(GBPJPY and AUDUSD) for the day
FxWirePro- Gold Daily Outlook
Ichimoku Analysis (4-Hour chart)
Gold price continues to trade lower due to the strong US dollar and rising US treasury yields. The US dollar index gained above 104.50 despite weak US economic data. US Conference Board consumer confidence came drops to 98.7 in June vs . Forecast of 100. Richmond manufacturing index came at -19 for June vs –9 prior. According to the CME Fed watch tool, the probability of a 75 bpbs rate hike in Jul dropped to 86.7% from 95.7% a week ago. It hits a low of $1818 and is currently trading around $1819.94.
Markets eye the final US GDP and Fed Chair Powell's speech for further direction.
Factors to watch for gold price action-
Global stock market- Bearish (positive for gold)
US dollar index – Bullish (Negative for gold)
US10-year bond yield- Bullish (negative for gold)
The near–term support is around $1815, a breach below targets $1800/$1750. Significant reversal only below $1750. A dip to $1700/$1689 is possible. The yellow metal faces minor resistance around $1850, any breach above will take to the next level $1875/$1900/$1920.
It is good to sell on rallies around $1838-40 with SL around $1875 for TP of $1800/$1787.