Gold was trading lower and lost more than $30 yesterday on a strong US dollar. DXY gained sharply and jumped more than 70 pips from a low of 98.36. The index is struggling to hold above 99 levels and any break above 99.35 confirms bullish continuation. The yellow metal hits low of $1500 and is currently trading around $1510.
US 10-year bond yield recovers more than 6% and is currently trading around 1.70%. The spread ah slightly widened to 3.6 bps from 2 bps. Markets eye US final GDP q/q and Fed member Clarida speech for further direction.
On the flip side, major support is around $1480 and any violation below will drag the gold till $1462 (23.6% fib)/$1440.
The near resistance is around $1540 and any minor bullishness can be seen above this level. Any break above targets $1555. Major bullish continuation only above $1555.
It is good to buy on dips around $1500-01 with SL around $1480 for the TP of $1540/$1555.
