Ichimoku Analysis (4- Hour Chart)
Tenken-Sen- $1916
Kijun-Sen- $1763.90
Gold jumped more than $30 from a low of $1954 yesterday on a weak US dollar. The Dollar index declined more than 50 pips for the past two days due to dovish Fed and dismal US economic data. Markets eye US ISM Manufacturing index, Nonfarm payroll data to be released this week for further direction. The US 10-year yield declined more than 10%,the real yield is at -1.08% from -1.03% yesterday.
US Dollar Index –Bearish (Positive for yellow metal)
S&P500- Positive (negative for gold)
US Bond yield- negative (positive for gold)
Technical:
The immediate support is around $1970, any indicative break below targets $1952/1943. Major weakness only if it breaks below $1900.The near term resistance is at $2000, the violation above will take to the next level $2015/$2085.
It is good to buy on dips around $1935-40 with SL $1900 for the TP of $2015.
