Gold Breaking Fron Structure
|As trade negotiations between the US and China are on the entire world's eyes the US Dollar keeps its strong bullish structure intact. The US Dollar Index retests the 98.80 area to find buyers early in the session.
This catapulted a bearish breakout in Gold after a third rejection of the 1510/1515 zone. We're targeting the bottom of the structure at the 1460 area and further bearish continuation for a retest of our value zone around the 1430.
Today Chinese Vice Premier Lui said the Chinese side is willing to reach an agreement on matters that both side care about and to prevent friction from further escalation.
A US Chamber of Commerce official just said that there is a strong possibility of an agreement in the US-China trade talks in exchange for delay in tariffs hikes.
If this scenario plays out we will see a big rally in the US Dollar and our Gold idea will develop as expected.
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