FxWirePro- Gold Daily Outlook

Gold gained sharply and hits a fresh all-time high.  It hits a high of $2640 and is currently trading around $2628.53.

The yellow metal surged after a dovish 50 bpbs rate cut by the Fed. The central bank hints at further easing on weak US inflation and increasing US unemployment rate.

Technical:

The near–term support is around $2620, a break below targets $2610/$2600/$2570/$2560/$2545/$2520/$2470. Major bearish continuation only below $2470.The yellow metal faces minor resistance around $2640 and a breach above will take it to the next level of  $2650/$2659.

Indicator (4- hour chart)

CCI (14)- Bullish

CCI (50)- Bullish

Average directional movement Index - Bullish

It is good to buy on dips around $2600 with SL around $2570 for TP of $2659.