Gold price rose further on Friday morning and pressuring important technical barriers ahead of release of key US NFP report.
The metal rose around 1.7% for the week so far, benefiting from weaker dollar on soft US macroeconomic data, which point to a slowing US economy and boost bets for possible Fed rate cut in September.
Economists expect that the US economy have added 191Knew jobs in June, compared to 272K increase previous month, with weaker than expected June NFP figure to add to recent signals and further lift metal’s price.
Conversely, above consensus June numbers would signal resilience of the labor market and fade expectations for rate cut which would make the yellow metal less attractive.
Technical studies remain overall bullish on daily chart, but strong obstacles at $2368/71 (50% retracement of $2450/$2286 / daily cloud top) need to be cleared to signal continuation of recovery from the higher base at $2290 zone and expose targets at $2387/$2400 (Fibo 61.8% / psychological).
Initial support lays at $2349 (broken Fibo 38.2%) followed by $2337/30 pivots (converging daily Kijun/ Tenkan-sen), loss of which will be bearish.
Res: 2371; 2378; 2387; 2400.
Sup: 2329; 2337; 2330; 2319.
