The gold price is consolidating underneath the critical resistance level of $1,860.00, following a massive rally from a low of $1,786.78 on May 16. Th
The gold price is consolidating underneath the critical resistance level of $1,860.00, following a massive rally from a low of $1,786.78 on May 16. The precious metal GOLD has moved sideways as investors await the US Nonfarm Payrolls (NFP) release on Friday. The US NFP is a major catalyst in preparing the Federal Reserve’s monetary policy statement (Fed).
The market consensus is that the US NFP will come in at 320k, compared to the previous print of 428k. The labor market in the US economy is extremely tight, and continuous job additions indicate the economy’s healthy progress. Over the past year, the US economy has added 551.6k jobs to its labor force. This time, the forecast of 320k is significantly lower than the average additions, indicating that the employment curve is advancing but decreasing.
XAU/USD
On the Greenback front, the US dollar index (DXY) has conveniently established itself below 102.00. The asset has hit a new monthly low of 101.30. This week’s ISM Manufacturing PMI data is also crucial. The economic catalyst is seen at 54.5, compared to the previous print of 55.4.
Gold Technical Outlook
The gold price opened today’s trading with a new rise after leaning on the 1850.00 level, to resume the bullish wave that targets testing 1890.00 as the next main station, backed up by stochastic and the EMA50 positivity.
As a result, we anticipate a more bullish bias today, noting that a break of 1850.00 followed by 1838.10 levels will halt the expected rise and press on the price to fall again. Today’s trading range is expected to be between 1845.00 support and 1880.00 resistance. Good luck!
www.fxleaders.com