Ichimoku Analysis (4 Hour chart)
Tenken-Sen- $2322.70
Kijun-Sen- $2318.70
Gold trades flat ahead of US retail sales data. It hit a low of $2310 yesterday and is currently trading around $2321.40.
Markets eye Fed members Barkin, and Kugler speech today for further direction. Any hawkish comments will drag gold prices further down.
Major economic data
US retail sales (12:30 pm GMT)
According to the CME Fed watch tool, the probability of a 25 bpbs rate cut in Sep increased to 57.50% from 45.10% a week ago.
US dollar index- Bullish. Minor support around 104/103. The near-term resistance is 105.50/107.
Factors to watch for gold price action-
Global stock market- Bullish (negative for gold)
US dollar index - Bullish (negative for gold)
US10-year bond yield- Bearish (Positive for gold)
Technical:
The near–term support is around $2280, a break below the target of $2270/$2250/$2228. The yellow metal faces minor resistance around $2320 and a breach above will take it to the next level of $2340/$2350/$2375.
It is good to sell on rallies around $2328-30 with SL around $2340 for TP of $2252.
