FxWirePro: Gold trades lower on strong dollar, good to buy on dips

US Dollar Index -Trend positive.US Dollar index is trading higher for past three days and jumped more than 50 pips. Any break above 98.40 will take the index till 98.75/99.

US 10 year yield- Overall trend negative. It has declined once again and hits lowest level in 19 months at 2.21%.. It is currently trading around 2.268%.

S&P500: Short term trend - weak .It has broken major support 2800 and hits low of 2766 level.  

Gold has lost nearly $8 from high of $1285 and hits low of $1277.It is currently trading around $1277.27.

On the higher side, near term resistance is around $1287 and any violation above will take the yellow metal to next level till $1292/$1300. It should break above $1304 for further direction.

The near term support is around $1276 and any break below confirms major weakness a dip till $1269/$1266. Any major weakness only below $1266.

It is good to buy on dips around $1275-76 with SL around $1269 for the TP of $1292/$1300.