FxWirePro- Gold Weekly Outlook

Ichimoku Analysis (Weekly chart)

Tenken-Sen- $1918

Kijun-Sen- $1824.50

Gold prices showed a minor sell-off after mixed US payroll data. The economy has added 236000 jobs in March, compared to expectations of 228000. The unemployment rate dropped to 3.5% from 3.6% in February. It hits a low of $1988 and is currently trading around $1991.77.

Major economic data for the Week

Apr 12th, 2023  US CPI (12:30 pm GMT).

                             BOC monetary policy report (2:00 pm)

                             FOMC Meeting Minutes (2:00 pm)

Apr 13th, 2023 US PPI  (12:30 pm GMT)

Apr 14th, 2023 Core retail sales m/m

                           Prelim UoM consumer sentiment

US dollar index-Bearish. Minor support around 101.40/101. The near-term resistance is 102.30/102.80/103.35.

 According to the CME Fed watch tool, the probability of a no-rate hike in May increased to 34% from 28.8% a day ago.

 The US 10-year yield showed a minor pullback after hitting the lowest level since Sep 12, 2022. The US 10 and 2-year spread narrowed to -57.9% from -108%.

  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 (negative for gold)

Technical:

 The near–term support is around $1977, a break below targets of $1969/$1955/$1936.The yellow metal faces minor resistance around $2000, and a breach above will take it to the next level of $2020/$2035.

  It is good to buy on dips around $1975 with SL around $1955 for TP of $2040/$2070.