FxWirePro: Gold trades weak, market eyes US Non-farm payroll

• Gold has declined slightly yesterday from the high of $1278 on stronger dollar and rising global equities. The yellow metal shown selling after slightly better than expected US jobless claims data. It is currently trading around $1267.88 0.09% lower.
   
• US jobless claims declined 12k in this week to 260K compared to 272K in previous week. Market focus on US non-farm payroll data which is to be released today for further direction.
   
• US economy is expected to add 90000 jobs previous compared to 156k in previous month. The slight decline in the forecast of job addition will be mainly due to hurricanes Harvey and Irma.
   
• US Dollar index has shown a major recovery after hitting low of 93.25 on Oct 4th 2017. It is currently trading around 94.04. The pair is facing major support near 23.6% (93) and any break below confirms minor weakness. The near term resistance is at 94.15 and any break above will take the index to next level till 95.
   
• U.S 10 year yield has once again jumped till2.35% on hawkish Fed official speech yesterday and strong economic data
   
• Technically gold is facing minor resistance around $1278 and any break above will take the yellow metal till $1290 (55- day EMA)/$1302 (38.2% fibo).
   
• Gold’s near term support is around $1262 (61.8% retracement of $1204 and $1357.90) and break below will drag the commodity down till $1250 (200- day MA).The yellow metal should close below $1250 for major trend reversal. 

It is good to sell on rallies around $1272-$1274 with SL around $1280 for the TP of $1262/$1253.