Gold -
Ichimoku Analysis (4 Hour chart)
Tenken-Sen- $2313.77
Kijun-Sen- $2315.46
Gold recovered sharply despite the strong US dollar. It hit a high of $2330 yesterday and is currently trading around $2326.90.
US economic data-
US durable goods orders -positive (negative for gold)
US GDP -Strong (negative for Gold)
Markets eye US PCE data for further movement. Any decline in inflation will increase the chance of a rate cut by the Fed.
According to the CME Fed watch tool, the probability of a 25 bpbs rate cut in Sep increased to 57.90% from 57.50% a week ago.
US dollar index- Bullish. Minor support around 104/103. The near-term resistance is 105.50/107.
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 $2280, a break below the target of $2260/$2250. The yellow metal faces minor resistance around $2340 and a breach above will take it to the next level of $2360/$2375/$2400.
It is good to buy on dips around $2308-10 with an SL of around $2290 for a TP of $2360.


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