Gold hits $2,518 before jobs and PMI numbers

Gold renews bullish advance and hits $2518.
ADP Non Farm Employment change suggests 144k jobs against previous 122k.
Support seen at $2500-$2495.
Break above $2518 opens the way to $2528-$2538.

Sunil Kumar Dixit SK Charting

Gold renews bullish attack reaching $2518 as $2490-$2495 attracted strong buying ahead of upcoming Initial Jobless Claims as well as Services and Manufacturing PMI during US session.

If bulls manage to break above $2518 hurdle, the upmove may quickly retest next resistance $2528 above which break above $2532 becomes easy, leading to a tad higher $2538

On the lower side, any dip correction towards value zone $2500-$2495 will attract buyers again.

Below this zone, some further retracement towards fair value gap at $2487-$2484 may not be ruled out.

Given the prevailing circumstances and price action, buyers are likely to keep using any retracement and pullbacks for adding fresh longs.

Author

Sunil Kumar Dixit

SK Charting

Sunil Kumar Dixit is Chief Technical Strategist and founder of SK Charting, a research firm based in India. He tracks Precious Metals, Energy, Indices and Currency Pairs. He also participates as an expert panellist on Channel Television, Nigeria.

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