Gold above 1350 reached high, will it sustain?
Technical Overview: Gold trading at 1355, trading above the resistance now turned to support, currently downside fresh support at 1325 or 200MA on 1hr chart and 1335 yesterday low, holding these levels downside upside 1365 (April 8th, 2018 high) can act as a fresh resistance. For the day one can be in bullish trend with mild profit taking trade where upside 1365 can be a limit and face a resistance. For coming sessions one can wait for the fresh buy till 1342 even for fresh highs. Overall range for the day is 1345-1365
Fundamental: On Thursday, Spot gold prices ended higher by 0.66 percent to close at $1342.0 per ounce. Global slowdown concerns continue to boost the appeal for the safe haven asset. Tensions arising out of the Middle East after tankers attacked in the gulf of Oman for the second time further raised worries over global economic growth. Weak data by U.S. coupled with fresh concerns arising out of the Middle East further increased the demand for the bullion metal. Expectation of a rate cut by the U.S. Federal Reserve considering global scenario weighed on the dollar and in turn supported Gold prices. Markets will have a keen watch on the next meeting of the US FED policymakers which is to be held on June 18-19, 2019.
Suggestion: SELL GOLD TIL 1358 FOR 1345/42 ELSE BUY ABOVE 1366 FOR 1373/1375