Menu

Search

  |   Technicals

Menu

  |   Technicals

Search

FxWirePro: Gold dips sharply on easing trade tension, good to sell on rallies 

Gold has once again declined sharply on account of upbeat US economic data and rising US stock market on strong earnings.The yellow metal hit low of $1278.95 and is currently trading around $1287.42.

US dollar Index: Bearish. DXY continues to trade higher for 3rd consecutive day and jumped nearly 40 pips from yesterday’s low of 97.44.Minor trend is slightly bullish as long as support 97 holds. It is currently trading around 97.80. (negative for gold).

USD/JPY: weak . USD/JPY has shown a decline once again after a minor jump above 110 level.The near term support is 109 and any violation below will drag the pair to next level till 108.49/108. Positive for gold.

 US 10 year yield : US 10 year yield jumped more than 2.5% yesterday after better than expected US economic data.US jobless claims and housing data came better than expected.The yield was trading weak for past one month. Overall it has been trading weak for past four months and lost nearly 28% from high of 3.25%.It is currently trading around 2.387%. Slightly positive for Gold.

 US 2 year yield: It is trading around 2.18%. The spread between US 10 year and 2 year has declined to 20bpbs from 30 basis point. The spread between 3 month and 10- year yield  inverted (US 10 year yield trading below US 3 month).

Gold technical

On the higher side, near term resistance is around $1290 (55- day EMA) and any convincing break above targets $1296/$1300. The yellow metal should break above $1300 for further bullishness.

The near term support is around $1280 and any break below will drag the commodity down till $1274/$1270. Any bearish continuation only below $1266.

 It is good to sell on rallies around $1298-$1300 with SL around $1307 for the TP of $1270.

 

 

 

 

 

 

  • ET PRO
  • Market Data

Market-moving news and views, 24 hours a day >

July 2 15:00 UTC Released

DKCurrency Reserves

Actual

449.6 Stale

Forecast

Previous

451.7 Stale

July 2 13:45 UTC Released

USISM NY Biz Conditions

Actual

50 %

Forecast

Previous

48.6 %

January 31 00:00 UTC 813094813094m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 31 00:00 UTC 813094813094m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 22 19:00 UTC 824914824914m

ARTrade Balance

Actual

Forecast

Previous

-1541 %

January 31 00:00 UTC 813094813094m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 22 19:00 UTC 824914824914m

ARTrade Balance

Actual

Forecast

Previous

-1541 %

January 31 00:00 UTC 813094813094m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 31 00:00 UTC 813094813094m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 31 00:00 UTC 813094813094m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

Close

Welcome to EconoTimes

Sign up for daily updates for the most important
stories unfolding in the global economy.