Gold price going nowhere in a hurry, consolidates around $2,300 amid pre-NFP trading lull

• Gold price struggles to gain any meaningful traction amid mixed fundamental cues.
• The Fed’s less hawkish outlook drags the USD to a multi-week low and lends support.
• Bets for a delayed Fed rate cut and a positive risk tone cap gains ahead of the US NFP.

Gold price (XAU/USD) trades with a mild negative bias through the first half of the European session on Friday, albeit manages to hold above a nearly one-month low and remains confined in the weekly range. Traders now seem reluctant and opt to move to the sidelines ahead of the release of the closely watched US monthly employment details. The popularly known Nonfarm Payrolls (NFP) report could influence the Federal Reserve's (Fed) future policy decisions, which, in turn, will determine the next leg of a directional move for the non-yielding yellow metal.

Heading into the key data risks, growing acceptance that the US central bank will keep interest rates higher for longer in the wake of still sticky inflation is seen acting as a headwind for the Gold price. Apart from this, a generally positive tone around the equity markets is seen as another factor undermining demand for the safe-haven precious metal. That said, the Fed's less hawkish stand, indicating that it is still leaning towards lowering borrowing costs, might continue to lend some support to the XAU/USD and help limit any meaningful corrective decline. 

Daily Digest Market Movers: Gold price traders seem non-committed as the focus remains glued to the US NFP

• Expectations that the Federal Reserve will keep interest rates higher for longer, along with the upbeat market mood, turn out to be key factors undermining demand for the safe haven Gold price. 
• The Fed signaled on Wednesday that the next move will be to lower the policy rate, though it was in no hurry to begin cutting borrowing costs as the disinflationary process has slowed in recent months.
• The Fed's less hawkish outlook led to the broad-based US Dollar weakness and helps limit the downside for the XAU/USD, warranting some caution before positioning for any meaningful downfall.
• Traders might also prefer to wait for the release of the closely watched US monthly employment details, or the NFP report, which is expected to show that the economy added 243K new jobs in April.
• Meanwhile, the Unemployment Rate is anticipated to remain steady at 3.8% during the reported month, while Average Hourly Earnings probably eased to the 4.0% YoY rate from 4.1% in March.
• The crucial jobs data might influence market expectations about the Fed's future policy decisions, which, in turn, will drive the USD and provide some meaningful impetus to the non-yielding metal.

Technical Analysis: Gold price remains confined in the weekly range, $2,080  support holds the key for bullish traders

From a technical perspective, the range-bound price action witnessed since the beginning of the current week constitutes the formation of a rectangle on short-term charts and points to a consolidation phase. Moreover, neutral oscillators on the daily chart warrant some caution for aggressive traders and confirm the near-term trajectory for the Gold price. Hence, any further weakness below the $2,300 mark might continue to find decent support near the $2,285-2,280 region, which if broken decisively should pave the way for deeper losses. The XAU/USD might then accelerate the fall towards the next relevant support near the $2,268-2,265 area en route to the $2,230-2,25 region and the $2,200 round figure.

On the flip side, the $2,326-2,328 region now seems to act as an immediate hurdle ahead of the $2,335 supply zone and the weekly top, around the $2,346-2,347 area. A sustained strength beyond will confirm a breakout through the short-term trading range and lift the Gold price to the $2,371-2,372 resistance. The momentum could extend further towards the $2,400 mark and the all-time peak, around the $2,431-2,432 area touched on April 12.