Ichimoku Analysis (4-hour chart)
Tenken-Sen- $1820.47
Kijun-Sen- $1815.52
Gold halted its previous week's bullish trend on surging US Treasury yields. The US 10-year yield jumped sharply and hits the highest level since Jan 2020 on hawkish Fed comments. The hope of a rate hike by the Fed is putting pressure on yellow metal at higher levels. The minor pullback in the US dollar index after hitting a multi-week low of 94.62 also prevented gold from further upside. Gold hits an intraday low of $1815 and is currently trading around $1818.
Factors to watch for gold price action-
Global stock market- Bearish (Positive for gold)
US dollar index –Bearish (positive for gold)
US10-year bond yield- Bullish (Negative for gold)
Technical:
The near–term support is around $1810, violation below targets $1800/$1780. Significant reversal only below $1750.The yellow metal facing strong resistance $1835, any violation above will take to the next level $1860/$1877/$1912 is possible.
It is good to buy on dips around $1810-11 with SL around $1800 for TP of $1860.
