FxWirePro: Gold trades well below $1500, dip till $1460 likely
Source: FxWire Pro - Technicals / 16 Oct 2019 03:25:17 America/New_York
Major Support - $1460
Gold is trading weak and struggling to hold above $1500 level on easing US-China trade uncertainty. US Treasury Secretary Steven Mnuchin said on Monday that both countries reached “fundamental agreement” during talks. The yellow metal hits low of $1477 and is currently trading around $1482. Short term trend is weak as long as resistance $1555 holds.
US 10-year bond yield continues to trade higher and jumped more than 6% from low of 1.68%. The spread between US 10-year and US 2-year spread widened to 14.7 bps.
Technically, the near term major support is around $1458 low made on Oct 1st and any violation below will drag the gold till $1444/$1429.
The near term resistance is around $1500 and any convincing break above targets $1515/$1525/$1555.
It is good to sell on rallies around $1485-86 with SL around $1500 for the TP of $1444/$1429.© FxWire Pro 2019. All rights reserved. The FxWire Pro content received through this service is the intellectual property of FxWire Pro or its third party suppliers. Republication or redistribution of content provided by FxWire Pro is expressly prohibited without the prior written consent of FxWire Pro, except for personal and non-commercial use. Neither FxWire Pro nor its third party suppliers shall be liable for any errors, omissions or delays in content, or for any actions taken in reliance thereon.