FxWirePro: Gold declines sharply on rising US bond yield, good to sell on rallies
Source: FxWire Pro - Technicals / 10 Nov 2019 11:29:58 America/New_York
Major support- $1458
Gold has declined sharply on US-China trade optimism and rising US bond yield. US dollar index is trading higher for 3rd consecutive days and jumped more than 100 pips. Any break above 98.31 (50-day MA) confirms further jump till 99. The US and China have agreed to roll back some tariffs which are putting pressure on safe-haven assets like yen, gold. US initial jobless claims declined by 8000 to 211000 compared to a forecast of 215000. The yellow metal hits low of $1460.48 and is currently trading around $1470.28.
US 10-year yield jumped more than 9% for the day on trade optimism. It hits a high of 1.97% and is currently trading at around 1.817%.
On the flip side, near term support is around $1458, any violation below will drag the yellow metal down till $1440. Major bearishness only below $1458.
The major resistance is around $1480, the indicative break above will take the gold to the next level $1495/$1500.
It is good to sell on rallies around $1478-80 with SL $1490 for the TP of $1470.© FxWire Pro 2019. All rights reserved. The FxWire Pro content received through this service is the intellectual property of FxWire Pro or its third party suppliers. Republication or redistribution of content provided by FxWire Pro is expressly prohibited without the prior written consent of FxWire Pro, except for personal and non-commercial use. Neither FxWire Pro nor its third party suppliers shall be liable for any errors, omissions or delays in content, or for any actions taken in reliance thereon.