Ichimoku Analysis (Weekly chart)
Tenken-Sen- $1803.63
Kijun-Sen- $1778.15
Gold was one of the worst performers the previous week after hawkish US fed policy. The Fed has kept its rates unchanged and to raise rates aggressively from the next Mar meeting. The US dollar and US 2-year yield rising together, with the 2-year yield hitting the highest level since Feb 2020. Gold hits a low of $1780 and is currently trading around $1787.36.
US GDP growth accelerated at a 6.9% annualized pace compared to a forecast of 5.3%. The number of people who have filed for unemployment benefits declined by 30000 in the week ended Jan 22 to 260000 compared to a forecast of 265000.
Factors to watch for gold price action-
Global stock market- Bearish (Positive for gold)
US dollar index –Bullish (negative for gold)
US10-year bond yield- Bullish (negative for gold)
Technical:
The near–term support is around $1780, violation below targets $1770/$1750. Significant reversal only below $1750.The yellow metal facing strong resistance of $1800, any violation above will take to the next level $1810/$1835/$1860/$1877$1912 is possible.
It is good to sell on rallies for $1800 with SL around $1812 for TP of $1755.
