Gold digs its heels below $3,350 as all eyes on Alaska
- Gold buyers played well from local demand zone $3330 twice but look hesitant on threshold of psychological zone $3350
- Markets await US Retail Sales data for some clues on Dollar and Gold prices.
- Actual prints better than forecasts will give tailwinds to the greenback resulting in weakness in Gold prices.
- If actual release comes below consensus, Dollar is likely to stumble and boost Gold prices.
- Trump-Putin meeting in Alaska takes CenterStage as outcome is slated to be a high voltage event with intense ripple effects.
Though the markets await release of US Retail sales numbers for some clues on impact on Dollar and Gold, the upcoming high voltage meeting between the US president Donald Trump and the Russian President Vladimir Putin has takes CenterStage as the outcome of the meeting is very likely to send ripple effects across the global economic corridors.
What's happening in Gold?
Markets remain on caution mode as Gold digs heels below the psychological zone $3350 and trades sideways above local support $3332
What's expected ahead?
Upcoming Retail Saes data will make some measured impact and Gold can slightly break the range bound sideways trading of $3332-$3329 support below which $3322-$3319 is next downside destination.
If sellers take control and break below $3322-$3319 support, look for further decline extending to $3302-$3298
On the flip side, a broader weakness in Dollar will call for positive consolidation above $3332-$3329 will witness gains surpassing immediate resistance $3348 above which next resistance cluster comes en route $3352-$3355-$3357 above which way opens to rebound extending legs towards $3364-$3368
If buyers dominate price breakout above $3364-$3368, next upside potential targets reach $3379 while major resistance sits at $3393-$3395
Author
Sunil Kumar Dixit
SK Charting
Sunil Kumar Dixit is Chief Technical Strategist and founder of SK Charting, a research firm based in India. He tracks Precious Metals, Energy, Indices and Currency Pairs. He also participates as an expert panellist on Channel Television, Nigeria.
