FxWirePro: Gold takes support near 100- day MA, good to buy on dips
Gold has shown a minor recovery after ten days of continuous selling. The yellow metal slight was supported by slight weakness in US dollar and jump in Volatility index. US dollar has declined sharply almost 80 pips till…
Gold has shown a minor recovery after ten days of continuous selling. The yellow metal slight was supported by slight weakness in US dollar and jump in Volatility index. US dollar has declined sharply almost 80 pips till 90.17 from the high of 90.93 and is trading at 90.17.
Donald Trump to impose Steel and Aluminum import tariffs and broader markets responded negatively. The 10 year US Treasury bond yield has fallen almost 10 bpbs and highly volatility in US markets. This both has supported the prices of gold.
On the lower side, any break below $1300 (100- day MA) will drag the gold down till $1287 (200- day MA). Bearish continuation only if it closes below $1287. Any violation below $1287 will drag the gold till $1282 (233- day MA)/$1275.
The yellow metal broken major resistance at $1321.70 (daily Kijun-Sen) and any break above will take the yellow metal till $1325/$1330 (20- day MA)/$1341. Overall bullish continuation only above $1366.
It is good to buy on dips around $1313-15 with SL around $1308 for the TP of $1324/$1330
