FxWirePro- Gold Daily Outlook

Ichimoku Analysis (4 Hourchart)

Tenken-Sen- $1923.64

Kijun-Sen- $1918.90

Gold prices showed a minor pullback on the weak US dollar. It has lost its momentum after weak US Non-farm payroll data. Hawkish comments from Fed San Francisco Mary Daly and Cleveland President Meser preventing yellow metal from further upside. It hits an intraday high of $1927.89 and currently trading around $1927.09.

 US dollar index- weak. Minor support around 101.65/100.78. The near-term resistance is 102/103.

According to the CME Fed watch tool, the probability of a 25 bpbs rate hike in July increased to 94.90% from 86.80% a week ago.

 The US 10-year yield pared some of its gains despite hawkish comments from fed officials.  The  US 10 and 2-year spread narrowed to -86.80% from -110%.

 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- Bullish (Bearish for gold)

Technical:

The near–term support is around $1900, a break below targets of $1890/$1878/$1868/$1850.The yellow metal faces minor resistance around $1936, and a breach above will take it to the next level of $1942/$1950/$1955.

 It is good to buy above $1930 with SL around $1920 for TP of $1950.