Gold -
Ichimoku Analysis (4-hour chart)
Tenken-Sen- $2029.78
Kijun-Sen- $2029.78
Gold showed a nice pullback despite strong US CPI data. US headline CPI rose to 3.4% YoY, compared to a forecast of 3.2%. Annual core CPI increased 3.9% from 4% in November. It hit a low of $2013.39 and is currently trading around $2040.55.
According to the CME Fed watch tool, the probability of a no-rate cut in Jan increased to 95.3% from 93.80% a week ago.
US dollar index- Neutral. Minor support around 101.80/100.60 The near-term resistance is 103/104.
Factors to watch for gold price action-
Global stock market- Bullish (negative for gold)
US dollar index - neutral (mixed for gold)
US10-year bond yield- Bearish (Positive for gold)
Technical:
The near–term support is around $2035, a break below targets of $2024/$2010/$2000. The yellow metal faces minor resistance around $2050 and a breach above will take it to the next level of$2060/$2070/ $2090/$2100/$2150.
It is good to buy on dips around $2030 with SL around $2010 for TP of $2150.
Silver-
Silver showed a false break out below $22.50 and jumped more than 2% following the footsteps of Gold. The precious metal trades below 21 and 55- EMA and long-term MA (200- MA) in the 4-hour chart. Any break above $23.20 (200-4H EMA) confirms minor bullishness. A jump to $23.60/$24/$24.50. It is facing significant support at $22.50 Any close below $22.50 targets $21.80/$21.
Crude oil-
WTI crude oil prices gained sharply on Middle East tension escalation. According to Bloomberg reports, $110/$130 call option spreads of about 30 million barrels worth of Brent Crude oil have traded in recent days.
Major resistance- $75.35/80. Significant support- $71/$68.


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