FxWirePro- Gold Daily Outlook

Gold -

Ichimoku Analysis (4 Hour chart)

Tenken-Sen- $2447

Kijun-Sen- $2442

Gold gained above $2500 on US dollar weakness.It hit a high of $2509  and is currently trading around $2504.

Markets eye the Jackson Hole symposium this week for further direction.

The easing inflation and weak US economic data have increased the probability of a rate cut by the Fed in Sep.

According to the CME Fed watch tool, the probability of a 25 bpbs rate cut in Sep increased to 71.50% from 50% a day ago.

 US dollar index- Bearish. Minor support around 102/100.60 The near-term resistance is 102.50/103.

 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 (positive  for gold)

Technical:

The near–term support is around $2470, a break below the target of $2450/$2430/$2400. The yellow metal faces minor resistance around $2510 and a breach above will take it to the next level of $2554.

It is good to buy on dips around  $2450-55 with an SL around $2430 for a TP of $2510/$2550.