Ichimoku Analysis (4- hour Chart)
Tenken-Sen- $1672.53
Kijun-Sen- $1693.33
Gold pared some of its gains made yesterday ahead of US Fed meeting minutes. The US dollar gained against all majors and holds above the 113 level.
The US 10-year yield dropped more than 3.5% after hitting a high of 4%.recovered again towards 4%. The US 10 and 2-year spread narrowed to -35 basis points from -37 bpbs.
According to the CME Fed watch tool, the probability of a 75 bpbs rate hike in Nov rose to 78.4% from 64.7% a week ago.
Economic data to watch today
US PPI 12:30 PM GMT
Fed meeting minutes 6:00 PM
Factors to watch for gold price action-
Global stock market- bearish (positive for gold)
US dollar index – Bullish (negative for gold)
US10-year bond yield- Bullish (negative for gold)
Technical:
The near–term support is around $1660, a close below targets of $1650/$1618.The yellow metal faces minor resistance around $1680, the breach above will take it to the next level of $1700/$1720/$1740/1760/$1800. Minor bullish continuation only if it breaks $1740.
It is good to sell on rallies around $1678-80 with SL around $1700 for TP of $1615.


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