Gold price trends and forecast on today and gold price technical supports

gold

18-06-2018 11.00 AM

Gold prices constantly faded away on Friday to year lows in spite of the dollar moving negative and rising tensions in the middle of growing worries of a trade conflict between U.S.-China.

Gold dropped as the dollar hit a fresh 2018 high before profit taking flashed a turnaround loading the greenback lower.

President Trump said the U.S. would impose a 25% tariff on billions of dollars of Chinese goods, and threatened further tariffs if Beijing resolute to react.

Beijing uncared for Trump's threats, on the other hand, vowing to immediately impose penalties of the "same scale" on American goods, raising the outlook of a revengeful trade war between the world's two largest economies.

Technical chart

gold

Technical outlook

Gold prices have broken the long-term support dotted line $1296. At the same time prices met the support line at $1272. Prices took consolidation again towards upside resistance line at $ 1290 which is the most resistive. We can go fresh short upon reaching the higher side. Gold turned bearish as the long-term support has been broken out. The next support is seen at $1240 level.