Ichimoku analysis (4-hour chart)
Tenken-Sen- $1800.20
Kijun-Sen- $1790
Gold is struggling to hold $1800 amid the surging US dollar index. The US dollar index has shown a pullback of more than 40 pips from a minor bottom of 93.48. Any convincing breach below 93.50 confirms further bearishness. Markets eye US CB consumer confidence and Richmond manufacturing for further direction. Gold hits a high of $1808.37 and is currently trading around $1804.25.
Factors to watch for gold price action-
Global stock market- Slightly bullish (negative for gold)
US dollar index – Slightly bullish (negative for gold)
US10-year bond yield- bearish (Positive for gold)
Technical:
It is facing strong support at $1778 violation below targets $1770/$1760. Significant trend continuation only below $1675. On the higher side, near-term resistance is around $1815, any convincing break above will take the yellow metal $1835/$1850/$1860 is possible.
It is good to buy on dips around $1770-71 with SL around $1760 for TP of $1835.
