FxWirePro - Gold Daily Outlook

Ichimoku Analysis (4 Hour chart)

Tenken-Sen- $2186.28

Kijun-Sen- $2184.54

Gold surged sharply and hit a fresh all-time high on broad-based US dollar selling. The US Fed kept its rates unchanged and hinted at three rate cuts this year. It has revised up PCE inflation to 2.6%. The dovish comments from the Fed Chairman pushed the yellow metal further upside.  The yellow metal hit a high of  $2222 at the time of writing and is currently trading around $2207.

According to the CME Fed watch tool, the probability of a 25 bpbs rate cut in  June increased to 67.4% from 55.6% a day ago.

 US dollar index-  Bearish. Minor support around 103/102.30. The near-term resistance is 104.20/105.

 Factors to watch for gold price action-

   Global stock market- Bullish  (negative for gold)

  US dollar index - Bearish (Bullish  for gold)

  US10-year bond yield- Bullish (negative for gold)

Technical:

The near–term support is around $2190, a break below the level targets of $2174/$2160/$2145. The yellow metal faces minor resistance around $2225 and a breach above will take it to the next level of $2250/$2300.

 It is good to buy on dips around $2160 with SL around $2145 for TP of $2225.