Spot Gold is in steep descend that broke below psychological $1200 support today and signals further weakness. Recent strong bearish acceleration through some important supports ($1212, $1207, $1200) generated strong bearish signals for extension of two-legged pullback from $1263 (27 Feb peak). US dollar’s strong bullish sentiment on rate hike expectations keeps the yellow metal under pressure. Also, firmly bearish technical studies support the notion. After taking out $1200 pivot, bears are eyeing daily Ichimoku cloud top at $1191, break of which would spark further weakness for full retracement of $1180/$1263 rally ($1180 – 27 Jan trough/daily cloud base). Broken 55 and 100SMA’s now act as solid barriers at 1207/10, ahead of broken Fibo 61.8% at $1212. US NFP data are in focus.
Res: 1200, 1207, 1210, 1216
Sup: 1195, 1191, 1188, 1180