Gold has shown a minor jump of $8 after better than expected US Non Farm Payroll data.It is consolidating after a jump of more than $20 from its low of $1237.82 US economy has added 213000 jobs in the month of June compa…
Gold has shown a minor jump of $8 after better than expected US Non Farm Payroll data.It is consolidating after a jump of more than $20 from its low of $1237.82 US economy has added 213000 jobs in the month of June compared to forecast of 195000. Unemployment rate remains steady at 3.8% but wage growth came at 2.7% slightly below expectations of 2.8%.The increase in geo political tensions has raised demand for safe haven assets such as gold. US dollar index has lost more than 50 pips on Friday and has broken major support of 94. It is currently trading around 93.89.The index should break above 95.53 for further bullishness.
The pair is facing strong trend support at $1239 (trend line joining $1046 and $1122) and any break below will take the yellow metal till $1234 (200- W MA) and any weekly close confirms further weakness.
The near term resistance is around $1260 and any convincing break above will take the yellow metal till $1270/$1275 (23.6% fib).
It is good to buy on dips around $1252-54 with SL around $1245 for the TP of $1270/$1275.
