Gold lost nearly $8 from the high of $1303 on slight easing trade tension between US and China. US President Trump told media that the dialogue with China is “very good” and relationship with Chinese President Xi Ping “extraordinary”. US stock market recovered sharply nearly 1.8% from low on trade deal optimism which has slightly reduced demand for safe haven. It hits low of $1293.50 and is currently trading around $1294.
The yellow metal broken major psychological resistance $1300 and any daily close above targets $1314/$1317 (61.8% fib).
On the lower side, near term support is around $1289 (55- day EMA) and any break below confirms minor weakness , dip till $1280 (61.8% fib)/$1273.
It is good to buy on dips around $1294-95 with SL around $1289 for the TP of $1317/$1320.
