FxWirePro- Gold Daily Outlook

Ichimoku Analysis (4 Hour chart)

Tenken-Sen- $2392.50

Kijun-Sen- $2404.25

Gold lost its shine after the FOMC meeting minutes. It hit a low of $2355 at the time of writing and is currently trading around $2364.

“A few participants indicated that they could have supported a continuation of the current pace of balance-sheet runoff at this time or a slightly higher redemption cap on Treasury securities than was decided upon,” According to minutes published Wednesday. The minutes revealed that policymakers are willing to keep rates on hold till inflation cools.

According to the CME Fed watch tool, the probability of a no-rate cut in June decreased to 93.50% from 96.7% a week ago.

  US dollar index- Bearish. Minor support around 104/103. The near-term resistance is 105/106.50.

   Factors to watch for gold price action-

   Global stock market- Bullish (negative for gold)

  US dollar index - Bullish (negative  for gold)

  US10-year bond yield- Bearish (positive for gold)

Technical:

The near–term support is around $2350, a break below the targets of $2342/$2330/$2300. The yellow metal faces minor resistance around $2375and a breach above will take it to the next level of $2400/$2420/$2450.

It is good to buy on dips around $2362-63 with SL around $2340 for a TP of $2500.