While gold is up this morning, in general the precious metal is selling off alongside safe havens including the Japanese yen and the Swiss franc. US bond yields gained yesterday on rising interest rate expectations, hurting gold prices. Earlier in the week, gold was falling on news that more Republican senators are backing Trump's tax reforms and a report that Trump is favoring John Taylor to be the next Fed Chair. We covered our thoughts on John Taylor and the impact on gold in a recent thought piece. Our short-term outlook on gold is now bearish.
Looking at technical indicators, gold is neither overbought nor oversold today and is trading within normal conditions. After its most recent top above $1,300, gold is now below $1,285.