Gold -
Ichimoku Analysis (4 Hour chart)
Tenken-Sen- $2328.58
Kijun-Sen- $2316.76
Gold trading is weak despite the weak US manufacturing data. It hit a low of $2318 yesterday and is currently trading around $2326.
US economic data-
US ISM manufacturing PMI -Weak (Positive for gold)
The US 10-year yield surged more than 5% in the past week putting pressure on yellow metal at higher levels.
According to the CME Fed watch tool, the probability of a 25 bpbs rate cut in Sep decreased to 0% from 60.50% a week ago.
US dollar index- Bullish. Minor support around 105.50/104. The near-term resistance is 106.20/107.
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- Bullish (Negative for gold)
Technical:
The near–term support is around $2280, a break below the target of $2260/$2250. The yellow metal faces minor resistance around $2340 and a breach above will take it to the next level of $2360/$2375/$2400.
It is good to buy on dips around $2308-10 with an SL of around $2290 for a TP of $2360.


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