Ichimoku Analysis (Daily Chart)
Tenken-Sen- $1782
Kijun-Sen- $1744
Gold breaks significant psychological resistance $1800 and hits multi-year high at $1818 on safe-haven demand. The decline in the US dollar and surge in new corona cases is supporting the yellow metal. The total of coronavirus cases is 3.15 million in the USA. Globally total number cases crossed 12 million with deaths around 552112.
US Dollar Index – Weak (bullish for yellow metal)
S&P500- sideways (neutral for gold)
US Bond yield- Slightly weak (bullish for gold)
Technical:
The yellow metal's near term resistance is around $1820, any violation above confirms bullish continuation. A jump till $1845/$1860 (161.8% fib) likely
The immediate support is around $1782 (Tenken-Sen), any indicative break beneath targets $1760 (38.2% fib)/$1747.
Oscillator
RSI- 72 (Bearish divergence)
It is good to buy on dips at around $1760 with SL around $1747 for the TP at $1825/$1844.
