FxWirePro: Gold faces strong resistance at $1300, good to sell on rallies
Gold prices declined almost $15 yesterday after hitting fresh 5- month high. The yellow metal mild decline on account of easing geopolitical tensions over North Korea. Gold recovered from the low of $1278 after UK PM The…
Gold prices declined almost $15 yesterday after hitting fresh 5- month high. The yellow metal mild decline on account of easing geopolitical tensions over North Korea.
Gold recovered from the low of $1278 after UK PM Theresa May announced plans to call an early election.
U.S dollar index has broken major support 100 and declined till 99.47 yesterday. The index should break above 100 for further bullishness. Major weakness can be seen only below 98.86 level.
On the higher side, any break above $1300 will take the yellow metal till $1306 (161.8% retracement of $1263.87 and $1195.12)/$1332.
The major near term support is around $1275 (7- day MA) and any break below will drag the yellow metal down till $1256 (200- day MA)/ $1244 (50% retracement of $1195 and $1295).
It is good to sell on rallies around $1287-$1289 with SL around $1300 for the TP of $1272/$1260.
