FxWirePro- Gold Daily Outlook

Ichimoku Analysis (4-hour chart)

Tenken-Sen- $2024.50

Kijun-Sen- $2015.25

Gold prices jumped sharply after weak US wholesale prices. US PPI m/m came at-.0.50%  in Mar, below the estimate of 0.0%. The yearly inflation rose 2.70% last month, compared to a forecast of 3%. It hits a high of $2048.79 and is currently trading around $2043.17.

The number of people who have filed for unemployment benefits rose by 11000 in the week ending Apr 8 to 239000, the highest since Jan 2022.

US dollar index-Bearish. Minor support around 100.75/100. The near-term resistance is 101.60/102.15.

 According to the CME Fed watch tool, the probability of a no-rate hike in May increased to 32.2% from 28.8% a week ago.

 The US 10-year yield trades flat despite weak US PPI. The US 10 and 2-year spread narrowed to -52% from -108%.

  Factors to watch for gold price action-

   Global stock market- bullish (negative for gold)

  US dollar index - Bearish (positive for gold)

  US10-year bond yield- bearish (negative for gold)

Technical:

  The near–term support is around $2030, a break below targets of $2000/$1980/$1969.The yellow metal faces minor resistance around $2050, and a breach above will take it to the next level of $2070/$2100.

  It is good to buy on dips around $2000 with SL around $1980 for TP of $2040/$2070.