Ichimoku Analysis (4 Hour Chart)
Tenken-Sen- $1949
Kijun-Sen- $1970
Gold continues to trade lower on profit booking and declined more than $80 after hitting a high of $2015. The yellow metal is highly volatile and major intraday bearishness only below $1907. The slight optimism in the US-China trade deal and hopes of the US stimulus package is supporting bears. US dollar index declined more than 50 pips from minor top 93.24. The US 10-year yield is trading flat and real yield is at -0.97% from -1.01% yesterday.
US Dollar Index – Bearish (positive for yellow metal)
S&P500- Positive (negative for gold)
US Bond yield- slightly negative (positive for gold)
Technical:
The immediate support is around $1925, any indicative break below targets $1907/$1862. Major weakness only if it breaks below $1860.The near term resistance is at $1970, the violation above will take the commodity to next level $2000/$2015.
It is good to sell on rallies around $1958-60 with SL $1975 for the TP of $1907.
