FxWirepro- Gold Daily Outlook

Gold -

Ichimoku Analysis (4-hour chart)

Tenken-Sen- $2063.74

Kijun-Sen- $2056.48

Gold showed a massive jump of $40 after a weak US ISM manufacturing index.  US ISM manufacturing PMI declined to 47.8 in Feb compared to a forecast of 49.50. Both core and headline PCE came in below expectations. The yellow metal hit a high of $2088 yesterday and is currently trading around $20.

The number of people who have filed for unemployment benefits rose by 13000 to 215000 in the week ending Feb 24th. Chicago PMI fell to 44 in Feb vs. the Forecast of  48.10.

According to the CME Fed watch tool, the probability of a no-rate cut in  Mar decreased to 95% from 97% a week ago.

 US dollar index-  Bearish. Minor support around 103.40/102.70. The near-term resistance is 104.20/105.

 Factors to watch for gold price action-

   Global stock market- Bullish  (negative for gold)

  US dollar index - Bearish (Bullish  for gold)

  US10-year bond yield- Bullish (negative for gold)

Technical:

The near–term support is around $2075, a break below targets of $2060/$2050. The yellow metal faces minor resistance around $2090 and a breach above will take it to the next level of $2100/$2125.

 It is good to buy on dips around $2060 with SL around $2040 for TP of $2100/$2120.