FxWirePro: Gold hits 6- week high on weak U.S jobs data, good to buy on dips
Gold hits highest in six weeks as U.S jobs data came weaker than expected. The yellow metal broken major resistance of $1274 high made on May 31st 2017. The yellow metal jumped almost $20 yesterday and is currently tradi…
Gold hits highest in six weeks as U.S jobs data came weaker than expected. The yellow metal broken major resistance of $1274 high made on May 31st 2017. The yellow metal jumped almost $20 yesterday and is currently trading around $1280.
U.S economy added 138k jobs in May compared to forecast of 185K but unemployment rate has fallen to 16- year low at 4.3%.
In the daily chart, gold is trading slightly above 61.8% fibo and a slight jump till $1295 is possible.
Technically gold is facing strong support at $1257 (21 EMA) and any close close below will drag the precious metal till $1245 (200 – MA)/$1241 (200 EMA). It should break below $1195 (Mar 10th 2017 low) for further weakness.
On the higher side, any close above $1278 (61.8% retracement of $1375 and $1122) will take the commodity to next level till $1295.
It is good to buy on dips around $1270-$1272 with SL around $1257 for the TP of $1295/$1300.
