Gold finished the week with small gains a little below $1,780 but failed to clear key resistance. In the view of FXStreet’s Eren Sengezer, sellers look to retain control following the uninspiring rebound.
Key technical levels for gold remain intact
“The ISM Manufacturing PMI report will be featured in the US economic docket on Thursday. Investors will keep a close eye on the Prices Paid Index for fresh clues on the inflation outlook rather than the headline PMI reading.”
“Ahead of the weekend, the US Bureau of Labor Statistics will release the June jobs report. The market consensus points to a 600,000 increase in Nonfarm Payrolls (NFP). The Unemployment Rate is seen edging lower to 5.7% from 5.8%. A stronger-than-expected NFP reading could provide a boost to the USD and weigh on gold as it would reaffirm the FOMC’s hawkish tilt in the policy outlook.”
“Key resistance seems to have formed in the $1,795/$1,800 (psychological level, 100-day SMA, Fibonacci 50% retracement of April-June uptrend) region. A daily close above that area could attract buyers and help gold extend its rebound toward $1,825 (Fibonacci 38.2% retracement) and $1,835 (200-day SMA, 50-day SMA).”
“$1,770 (Fibonacci 61.8% retracement) aligns as key support and bears could see a decline below that level as another selling opportunity toward $1,756 (April 29 low, static level) and $1,745 (static level).”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
NZD/USD trims gains to near 0.5850 as RBNZ Orr speaks
NZD/USD has trimmed gains to reverse near 0.5850 early Wednesday. The New Zealand Dollar found fresh buyers after the RBNZ announced 50 bps interest rate cut to 4.25%, as widely expecteed but RBNZ Governor Orr's prudent remarks check the pair's upside.
USD/JPY stays pressured below 153.00, US data eyed
USD/JPY slides to over a two-week low below 153.00 early Wednesday as Trump's tariff threats continue to drive haven flows towards the JPY and exert pressure on spot prices. That said, doubts over the BoJ's ability to tighten its monetary policy further should cap gains for the JPY. US data eyed.
Gold price consolidates amid mixed cues; holds comfortably above $2,600
Gold price struggles to capitalize on the overnight bounce from the $2,600 neighborhood or over a one-week low and trades with a mild negative bias on Wednesday. The prevalent risk-on environment, expectations for a less dovish Fed, elevated US bond yields and the underlying bullish sentiment surrounding the USD act as a headwind for the commodity.
Bitcoin remains short of $100K as long-term holders capitalize on recent price rise
Bitcoin (BTC) trades below $95K on Tuesday following increased selling pressure among long-term holders (LTH) after a series of new all-time highs (ATH).
Eurozone PMI sounds the alarm about growth once more
The composite PMI dropped from 50 to 48.1, once more stressing growth concerns for the eurozone. Hard data has actually come in better than expected recently – so ahead of the December meeting, the ECB has to figure out whether this is the PMI crying wolf or whether it should take this signal seriously. We think it’s the latter.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.