Gold: Buy above $1290 : FxWirePro | November 9, 2017

• Gold 0.17% is trading steady at three week high on minor weakness in US dollar -0.11% and uncertainty over US tax plan. The yellow metal has shown a minor jump till $1287 and is currently trading around $1284.

• US bond yield spread between 2 year and 10 year at 67 basis point, lowest in nearly a decade. The 10 year yield hits two weeks low from high of 2.48.

• US Dollar index -0.11% has shown a minor dip after hitting high of 95.15. The index is facing strong resistance at 95.20 (161.8% fibo) and any break above targets 96/96.51 level. It is currently trading around 94             .84. The pair is facing major support near 94             .60 (10- day MA) and any break below confirms minor weakness till 94             (20- day MA)/93.78 (55- day EMA )/92.60 likely.

• Technically gold 0.17% is facing near term resistance around $1290 ( Oct 0.77% 19th 2017 high and 61.8% fibo) and any break above will take the pair to next level till $1300/$1309. Further selling in gold 0.17% can be seen only below $1260.

• Gold’s near term support is around $1262 ( 61.8% retracement of $1204 and $1357.90) and break below will drag the commodity down till $1250.The yellow metal should close below $1250 for major trend reversal. The minor support is around $1277/$1270.

It is good to buy above $1290 with SL around $1283 for the TP of $1300/$1309.