FxWirePro: Gold trades in narrow range ahead of Jackson Hole meeting, good to sell on rallies

• Gold consolidates in narrow range after hitting high of $1300.60 in previous week. The yellow metal is waiting for surprise in Jackson Hole meeting. The annual meeting of top central bankers and economist is scheduled on Thursday and market players looked ahead of Fed and ECB keynotes. The yellow metal shown a minor jump from the low of $1280 and is currently trading around $1287.
   
• Fundamentally the downside will be limited due to continuing weakness in the stock market and more political uncertainty.
   
•  DXY is trading weak and is struggling to close above 21- day EMA at 93.70 and any minor bullishness can be seen only above that level. Minor jump till 94.29 (23.6% fibo) can be seen.
   
• U.S 10 year yield hits lowest level since Jun 2017 at 2.16% and markets brace for Jackson hole for further movement.
   
• Technically gold is facing major resistance around $1300 and any convincing break will confirm major trend reversal. Any break above will take the yellow metal till $1310/$1325.
   
• Gold’s near term support is around $1277 (23.6% retracement of $1204 and $1300.66) and break below will drag the commodity down till $1270 (21- day EMA)/$1256 (100- day MA).The yellow metal should break below $1195 for major trend reversal. 

It is good to sell on rallies around $1288-$1290 with SL around $1300 for the TP of $1270/$1261.