FxWirePro- Gold Weekly Outlook

FxWirePro- Gold Weekly Outlook 

Ichimoku Analysis (Weekly chart)
 
Tenken-Sen- $1907.30
 
Kijun-Sen- $1812
 
Gold prices pared some of their gains on profit booking. The yellow metal was one of the best performers this month as safe-haven demand increased. Banking uncertainty pushed gold higher above $2000.

Major central bank-

 US Fed hiked rates by 25 bpbs and stated that one more 25 bpbs rate hike this year. 
The Swiss National Bank increased the rate by 50 bpbs to 1.5% despite Credit Suisse's turmoil. Bank of England hikes rates by 25bpbs to tackle inflation. 

The number of people who have filed for unemployment benefits for the week ended Mar 18th dropped by 1000 to 191000. US durable goods orders m/m declined by -1% in Feb, below the estimate of 0.40%.

Major economic data for the day

Mar 28th, 2023  US CB Consumer confidence m/m (3 pm GMT)

 Mar 30, US final GDP q/q and Unemployment claims (1:30 pm GMT)

Mar 31st, US Core PCE price index m/m (1:30 pm)
                                   

US dollar index-Bearish. Minor support around 103/102.50. The near-term resistance is 104/105.10.

 According to the CME Fed watch tool, the probability of a no-rate hike in Mar increased to 81.8% from 48.5% a week ago.

 The US 10-year yield pared most of its gains after forming a minor top of 3.64%. The US 10 and 2-year spread widened to 42.9 from -62%.

  Factors to watch for gold price action-

   Global stock market- bearish (positive for gold)

  US dollar index - Bearish (positive for gold)

  US10-year bond yield- Bearish (positive for gold)
 
Technical:

  The near–term support is around $1965, a break below targets of $1935/$1921/$1890.The yellow metal faces minor resistance around $2010, and a breach above will take it to the next level of $2010/$2020.

  It is good to sell on rallies around $2000 with SL around $2015 for TP of $1935.