Major intraday support - $1480
The gold price continues to trade higher and jumped nearly $40. The yellow metal is still in bullish mode due to the increase in the Safe-haven demand on the US-China trade war. US 10 year yield declined more than 7% from the previous week close 1.75%. According to the CME Fed Watch tool, the probability of 25 bps has decreased to 82.3% from 84.6% and the chance of 50 bps jumped to 17.7% from 15.4%. It is currently trading around $1520.
On the higher side, near term resistance is around $1520-25 and any violation above will take the yellow metal till $1540/$1585.
The near term major support is around $1480 and any break below will drag the gold till $1462/$1455/$1440.
The market is in the overbought zone with RSI at 76 (bearish divergence) so minor dip till $1440-50 is possible.
It is good to buy on dips around $1460-65 with SL around $1440 for the TP of $1525.
