FxWirePro: Gold Weekly Outlook

• Gold declined almost $20 from the high of $1228 made yesterday on account of better than expected U.S Nonfarm payroll data. The yellow metal dipped till $1207 and is currently trading around $1211.37.
   
• The U.S economy has added 222000 jobs in Jun compared to forecast of 179000. The unemployment rate is around 4.4% compared to forecast of 4.3%. Stronger than expected U,.S jobs data indicate that Fed would maintain its stance on monetary tightening.
   
• Gold’s near term support is around $1207 (50% retracement of $1122.75 and $1296.30) and break below will drag the commodity down till $1200/$1195. The yellow metal should break below $1180 for major trend reversal.
   
• On the higher side, in the daily chart minor resistance is around $1218 (100 W MA) and any break above will take the commodity till $1233 (200 W MA)/$1241 (38.2%  retracement of $1296.20 and $1122.30)/$1250.

It is good to sell on rallies around $1220-$1222 with SL around $1233 for the TP of $1200/$1196.