FxWirePro: Gold trades lower on easing Middle East tensions, good to sell on rallies

• Gold declined sharply yesterday almost $20 on account of easing geo political tensions and slightly stronger US dollar. The decline happened yesterday after Trump tweeted that attack on Syria could take place “very soon or not so soon at all”. But huge selling pressure happened at higher levels as US fed FOMC minutes meeting confirms that here will be more than three rate hikes. It is currently trading around $1339.73.
   
• US dollar index jumped almost 50 pips from yesterday low of 89.36 and is currently trading around 89.76.
   
• The yellow metal’s near term resistance at $1347 and any break above will take the yellow metal till $1355/$1365. The major bullishness only above $1365. Any break above $1365 will take the gold till $1374/$1380. Overall bullish continuation only above $1365.
   
• On the lower side, near term support is around $1332 (20- day MA) and any break below will drag the yellow metal down till $1329 (61.8% fibo)/$1324.

It is good to sell on rallies around $1345-47 with SL around $1354 for the TP of $1332/$1324.