FxWirePro: Gold Weekly outlook

Ichimoku Analysis (Weekly Chart)

Tenken-Sen- $1826

Kijun-Sen- $1717

Gold is trading higher for 2nd consecutive week and jumped more than $180 on safe-haven demand. The yellow metal hits an all-time high at $1991 and is currently trading around $1972. The US dollar index recovered more than 100 pips after hitting a 26-month low at 92.55. The US real GDP declined by historic 9.6% in the second quarter compared to -5.0% in the first quarter. The continuing claims rose above 17 million and the number of people applied for unemployment benefits rose for the second consecutive week.

US Dollar Index – Bullish (negative for yellow metal)

S&P500- Positive (negative for gold)

US Bond yield- weak (positive for gold)

Technical:

The yellow metal lost more than $20 from high and any violation below $1960 confirms further bearishness. A decline till $1940/$1907 is possible.

The immediate resistance is around $2000, any indicative break beyond targets $2025/$2050.

It is good to sell on rallies around $1988-90 with SL around $2000 for the TP of $1908.