Different technical and fundamental aspects
After great US employment data, S&P 500 closed at 4698 which is the seventh consecutive season closing at a new record. It is rare to see that, however, in the past 41 years, we saw that fife other times. With the current price, S&P 500 has more than a 25% gain year-to-date.
In fact, with increasing stock prices, it is usual to see the Gold lose the demand because investors can see better profit in the stock markets, so selling their gold for stock. However, last Friday and with better than expected NFP numbers, gold rose 1.50% to USD 1818.00 an ounce, with more than 26 dollars gain on the day. Today in Asian and European trading hours, hold the bulls, however, could not continue further.
As Friday falling Bond Yields all way down to 1.47% sent the gold to one month high, today increasing the 10-years bond Yields to 1.49%, puts the pressure on Gold price.
From the technical point of view, if gold can hold the key level of $1,788 as its 20 and 50 DMA level, bulls can stay for a longer time and have the $1734 as their next target.
For now, Pivot point sits at $1,818, with first, second, and third support respectively at 1,805, 1,797, and 1788. Resistance levels also sit at 1,830, then 1,838 and 1,851.
