Major support - $1445
Gold has shown a minor recovery from a low of $1452.50 level on an escalation of Hong Kong protests. US President Trump has signed the Hong Kong Human Rights and Democracy act bill supporting protesters which raised concerns over the US-China trade deal. The yellow metal
The US 10- year bond yield has formed a double bottom at 1.730% and shown a minor recovery till 1.779%. The spread between US 2and 10-year has narrowed to 14.1 bps from 27 bps.
According to the Fed Watch tool, the probability of the Fed to keep rates unchanged has increased to 94.8% from 92.6% 1-week ago, the chance of rate hike declined to 5.2% from 7.4%.
On the flip side, near-term support stands at $1445, violation below will drag the yellow metal down till $1430/$1413 possible.
The near-term resistance is at $1480, any indicative break above targets $1500/$1525.
It is good to sell on rallies around $1465-67 with SL around $1478 for the TP of $.
