Ichimoku analysis (Daily chart)
Tenken-Sen- $1785
Kijun-Sen- $1786
Gold is consolidating after hitting a high of $1797.95 on a minor pullback in the US dollar. US dollar index has shown a minor recovery of more than 50 pips from a low of 90.85. The US 10-year bond yield continues to trade lower for the past three weeks and hits a low of 1.53%. The number of people who have filed for unemployment benefits declined to 547000 compared to a forecast of 607K. The European Central bank has left its interest rates unchanged as expected and said that it will continue to buy bonds until the end of Mar 2022. The yellow metal hits an intraday high of $1789 and is currently trading around $1785.22.
Technical:
The yellow metal has taken support near 61.8% fib retracement and shown a minor recovery. Any violation below $1776 will drag the yellow metal down to $1763/$1750. Significant trend continuation only below $1675. The near-term resistance is around $1802 (100-day MA). Any violation above confirms further bullishness. A jump till $1817/$1830.
It is good to buy on dips around $1775-76 with SL around $1760 for the TP of$1817.
