- Gold has declined almost 2% from the yesterday high of $1242 lowest in eight weeks on account of higher yield and hawkish shift of central banks . It is currently trading around $1222.
- US dollar index recovered slightly from the low of 95.47 on account of better than expected U.S ISM manufacturing index. The ISM manufacturing index rose to 57.8 in June compared to 54.9 in May highest since 2014.
- Gold’s near term support is around $1217 (May 9th 2017 low) and break below will drag the commodity down till $1214/$1200/$1195. The yellow metal should break below $1180 for major trend reversal.
- On the higher side, in the daily chart minor resistance is around $1235 (200 day MA) and any break above will take the commodity till $1248 (89- day EMA)/$1258.
It is good to sell on rallies around $1226-$1228 with SL around $1236 for the TP of $1214/$1200.
