FxWirePro: Gold hits fresh 3-month low on strong US Dollar, good to sell on rallies
Source: FxWire Pro - Technicals / 12 Nov 2019 02:03:56 America/New_York
Gold continues to trade lower and hits a fresh 3-month low at $1448 on strong US dollar and rising bond yield. DXY has formed a minor bottom around 97, any break above 98.40 confirms further bullishness. Markets eye US-China trade talk progress for further direction. It is currently trading around $1450.
According to the CME Fed watch tool, the probability of keeping rates unchanged has increased from 95.6% to 97% and the chance of 25 bps cut declined to 3% from 4.4%.
US 10-year yield was soaring and jumped more than 15%. It hits a high of 1.97% and is currently trading at 1.94%. It is holding above major resistance 1.91% and an increase till 2.14% likely.
Technically, major support is around $1450 and any break below confirms bearish continuation, a decline till $1430/$1400 likely.
The major resistance is around 1480, any indicative break up targets $1500/$1525. Major trend reversal only beyond $1555.
It is good to sell on rallies around $1458-60 with SL around $1470 for the TP of $1430/$1400.© 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.