Technical: Gold trading at 1305 rose above 1300 last night on Brexit uncertainties. Technically looks strong above 1300 can lead to 1308 and 1313 upside. Downside support lies at 1298 and 1292 in extension. 100MA crossed 200MA where support holding at 1302 which can limit downside. Overall buy on dips is advised for upside 1308 and 1313 further.
Fundamental: On Tuesday, spot gold rose by 0.6 percent to close at $1301.8 per ounce. Dollar declined in yesterday’s trading session after the Brexit deal chaos and weaker US economic data in turn supporting Gold to in reclaiming the $1300 mark. However, the gains were capped as the investors moved towards riskier assets after improved risk appetite. As per the statement of the U.S. Trade Representative Robert Lighthizer, US-China might be in the last week of their trade talks in an attempt to end their tit-for-tat tariffs dispute.
Suggestion: Buy Gold til 1300 for 1308 and 1313 else sell below 1292 or 1285 and 1280