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Gold eases from near 2-week tops, focus remains on US-China trade talks

   •  The global flight to safety continues to fuel the ongoing positive move.
   •  A goodish pickup in the US bond yields now seemed to cap further gains.

Gold edged higher for the fourth consecutive session on Wednesday and is currently placed at near two-week tops, around the $1288 supply zone.

The precious metal continued attracting some safe-haven flows after the US Trade Representative Robert Lighthizer confirmed that the US will increase tariffs on $200 billion worth of Chinese goods on Friday. 

This comes on the back of a modest US Dollar downtick, which provided an additional boost and further assisted the dollar-denominated commodity to build on last week's goodish post-NFP bounce from YTD lows.

However, the positive momentum remained capped near the $1288 supply zone amid a goodish pickup in the US Treasury bond yields, which tends to undermine demand for the non-yielding yellow metal. 

Hence, it would be prudent to wait for a sustained move beyond the mentioned barrier before positioning for any further appreciating move amid absent relevant market moving economic releases from the US.

Technical levels to watch

XAU/USD

Overview
Today last price1285.6
Today Daily Change0.83
Today Daily Change %0.06
Today daily open1284.77
 
Trends
Daily SMA201282.52
Daily SMA501293.46
Daily SMA1001294.68
Daily SMA2001254.31
Levels
Previous Daily High1286.1
Previous Daily Low1275.1
Previous Weekly High1288
Previous Weekly Low1266.35
Previous Monthly High1310.7
Previous Monthly Low1265.6
Daily Fibonacci 38.2%1281.9
Daily Fibonacci 61.8%1279.3
Daily Pivot Point S11277.88
Daily Pivot Point S21270.99
Daily Pivot Point S31266.88
Daily Pivot Point R11288.88
Daily Pivot Point R21292.99
Daily Pivot Point R31299.88

Author

Haresh Menghani

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

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