The NFP number came in lower than expected at 162,000 vs 185,000. This saw gold jump $36 higher after earlier falling as low as 1282. The market found resistance at the down trend line at 1318 and has dropped back a little since then to currently trade around 1314.
We are confident that the bearish trend is still intact and we will see lower prices next week. The pattern unfolding looks very similar to the trading from 7 May onwards and also from 18 June onwards on the daily chart. A break above 1350 would invalidate the bearish set up and likely see a rally back up towards 1425.
The weaker than expected NFP number has given gold a temporary boost and the dollar a temporary set back, though nothing has changed really - the US economy continues to improve (albeit slowly) and the Fed are eager to begin tapering Quantitative Easing and will do so later this year.
Resistance comes in at 1318, 1328, 1331, 1338-1342 and 1348-1350 - a break above 1350 will see higher prices as we mentioned above.
Support comes in at 1300-1305, 1283, 1268, 1260 and 1238. Below this 1215, 1207 and 1180 are the next support levels with a break of 1180 targeting 1156 and possibly much lower.
We are confident that the bearish trend is still intact and we will see lower prices next week. The pattern unfolding looks very similar to the trading from 7 May onwards and also from 18 June onwards on the daily chart. A break above 1350 would invalidate the bearish set up and likely see a rally back up towards 1425.
The weaker than expected NFP number has given gold a temporary boost and the dollar a temporary set back, though nothing has changed really - the US economy continues to improve (albeit slowly) and the Fed are eager to begin tapering Quantitative Easing and will do so later this year.
Resistance comes in at 1318, 1328, 1331, 1338-1342 and 1348-1350 - a break above 1350 will see higher prices as we mentioned above.
Support comes in at 1300-1305, 1283, 1268, 1260 and 1238. Below this 1215, 1207 and 1180 are the next support levels with a break of 1180 targeting 1156 and possibly much lower.
YOU SHOULD NOT TAKE ANY MATERIAL posted on this BLOG AS RECOMMENDATIONS
TO BUY OR SELL GOLD OR ANY OTHER INVESTMENT VEHICLE LISTED.
TO BUY OR SELL GOLD OR ANY OTHER INVESTMENT VEHICLE LISTED.
Do your own due diligence.
No one knows tomorrow's price or circumstance.
I intend to portray my thoughts and ideas on the subject which may s be used as a tool for the reader.
I do not accept responsibility for being incorrect in my speculations on market trend.
I intend to portray my thoughts and ideas on the subject which may s be used as a tool for the reader.
I do not accept responsibility for being incorrect in my speculations on market trend.
King Regards
