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  • Gold trades marginally higher in Asia as US yields decline. 
  • The metal’s short-duration technical charts show scope for a corrective bounce.

Gold is trading near $1,773 per ounce, having put in a low of $1,765 in early Asia. 

The minor bounce could be associated with the US 10-year Treasury yield’s pullback from the 12-month high of 1.55% to 1.5%. 

Gold’s 15-minute chart shows a bullish divergence of the Relative Strength Index. Meanwhile, long tail attached to the current and the previous 4-hour candle signals bear fatigue. 

As such, the metal could extend the recovery toward resistance at $1,780 – a lower high on the 15-minute chart. A violation there would expose the descending trendline. 

The overall bias would remain bearish while prices are held under the Feb. 23 high of $1,816. 

15-minute chart

Trend: Corrective bounce

Technical levels

 

Expert score

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