Gold is still under the influence of the bears as ETFs continue to sell their holdings at a fast pace. Rising yields also do not help gold bulls. Despite Powell’s dovish speech after the FOMC and rising inflation expectations, markets fear for an early taper move because of fast recovery expectations and fast vaccinations in the US
Gold is still in the major bearish trend channel and upward correction from the 1675 support in the short-term starts to fade as 1765 resistance glooming over the bulls. For upside moves in the medium-term, 1765 and 1810 resistance have to be broken.
For today, 1729 will be a key support level. If gold can stay above this support, 1745 may be tested to the upside. And above 1745, 1763-1765 zone can be the next target if 1745 is broken.
For downward moves, below 1729, 1700-1675 can be good targets for the short-term.