Ichimoku Analysis (4-hour Chart)
Kijun-Sen- $1897
Tenken-Sen-$1897
Gold declined more than $40 on a strong US dollar. The US dollar index gained sharply after Trump has asked to drop fiscal stimulus negotiations with Democrats. DXY jumped more than 30 pips from a low of 93.34. Market sentiment slightly improved on Trump's tweet that he will not be taking the latest fiscal deal. The yellow metal hits an intraday high of $1898 and is currently trading around $1892.
The yellow metal is facing strong resistance at $1920. Any indicative violation above will take to the next level till $1940/$1975. The near term support is around $1860, an indicative break below $1848 will take the commodity till $1825/$1800.
It is good to buy on dips at around $1880 with SL around $1860 for the TP of $1950.
