FxWirePro: Gold weekly outlook
Source: FxWire Pro - Technicals / 02 Dec 2019 04:22:23 America/New_York
Major Support- $1445
Gold is trading in a narrow range between $1445 and $1478 for the past 3 weeks. But the overall trend is still weak as long as resistance $1480 holds. The strong US dollar and trade optimism is putting pressure on safe-haven assets like yen, gold. The US dollar index has formed a minor top around 98.54 and shown a minor decline. The yellow metal hits low of $1449.50 previous week and is currently trading around $1454.95.
The US 10- year bond yield trades slightly higher and jumped more than 5%. The spread between US 2and 10-year has widened slightly from 12.6 bps from 18 bps.
According to the Fed Watch tool, the probability of the Fed to keep rates unchanged has increased to 94.8% from 91.1% 1-week ago, the chance of rate hike declined to 5.2% from 8.9%.
On the flip side, near-term support stands at $1456, violation below will drag the yellow metal down till $1445/$1430/$1413 possible.
The near-term resistance is at $1480, any indicative break above targets $1500/$1525.
It is good to sell on rallies around $1465-67 with SL around $1478 for the TP of $.© FxWire Pro 2020. 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.