FxWirePro: Gold downside capped by Tenken-Sen, good to buy on dips

Ichimoku Analysis (Daily Chart)

Tenken-Sen- $1768

Kijun-Sen- $1729

Gold is trading higher and shown a minor jump of more than $15 from yesterday's low of $1770. It is hovering near an 8-year high on surge in U.S coronavirus cases. The total number of cases in the world rose to 11 million with a number of deaths in the U.S crossed 130000. The demand for an increase in safe-haven is supporting the yellow metal at lower levels. DXY jumped more than 40 pips from low of 96.57, violation below 96.40 confirms further weakness.

US Dollar Index – Slightly weak  (bullish for yellow metal)

S&P500- Bearish (positive for gold)

US Bond yield- Slightly weak (bullish for gold)

Technical:

The yellow metal is facing significant resistance at $1800, any violation above confirms bullish continuation. A jump till $1825/$1850 likely

The immediate support is around $1768 (Tenken-Sen), any indicative break beneath targets $1760 (23.6% fib)/$1752 (Trend line support)/$1747.

It is good to buy on dips at around $1757-58 with SL around $1746 for the TP at $1800/$1825.