FxWirePro: Gold Weekly Outlook

Ichimoku Analysis (Weekly Chart)

Tenken-Sen- $1577

Kijun-Sen- $1574

 Gold was trading higher in the previous week and jumped more than $60 form close of $1623. It hits a high of $1692.65 at the time of writing. The major factors to be watched are

Coronavirus

The total number of people infected due to coronavirus rose to 1853155 with the U.S is in the top with 560433 and four major European economies like Spain, Italy, Germany, and France at 166831,156363, 132591 and 127854.

US Market:

US stocks especially Dow Jones and S&P500 recovered more than 30%  from low made due to coronavirus crisis.

Bond Yield

US 10-year yield is trading higher for the past 1-week and jumped more than 40%. The spread between US-2 and 10-year widened to 50bps from 35 bps. 

Technicals:

On the flip side, near term support is at $1575 and any violation below will drag the yellow metal down till $1560/$1518.

The immediate resistance is around $1700, any indicative break above targets $1725/$1740.

It is good to buy on dips around $1670 with SL around $1650 for the TP of $1740.