Gold pared some of its gains on the strong US dollar. It hit a low of $2499.90 and is currently trading around $2500.
The yellow metal is trading below 34 and 55 H EMA in the hourly chart ($2513 and $2512). Any violation below $2498 (200- H MA) confirms further weakness. A dip to $2490/$2470 is possible.
US dollar index- It has gained more than 50 pips from yesterday’s close of 100.51. Any break above 101.40 confirms minor bullishness.
The yellow metal faces minor resistance around $2513 and a breach above will take it to the next level of $2525/$2535/$2554.
It is good to sell on rallies at $2500 with SL around for a TP of $2470.
