On analysis of the movements of Gold futures, in different time frames, I find that the current rally in U.S. equity markets is only a hope-based rally, which has spurred some bearish pressure in Gold futures. But, I find that the prevailing uncertainty in global equity markets due to straining relations between the U.S. and China could continue to disrupt the global supply chain. In the absence of a perfect biological cure of Covid-19, hopes will continue to generate such base-less rallies in equity markets.
I find that the currently prevailing indecisiveness in global equity markets may continue to provide good strength to gold bulls to sustain above the $1700. Gold futures may continue to consolidate in the range of $1697 - $1737; regaining more strength to move towards $1757 level.
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