Gold: Steady Amid Anticipation of Key US Jobs Data Release.
FUNDAMENTAL OVERVIEW
Gold maintained stability around the $2,030 per ounce mark on Thursday, showing resilience after recent bouts of heightened volatility. Investor attention is centered on the imminent US monthly jobs report, viewed as a pivotal factor for insights into future interest rate trajectories.
On the economic front, Wednesday’s data disclosed a decline in US job openings to a 2-½-year low in October. Moreover, private payrolls for November fell below expectations, signaling a slowdown in the labor market. In response, markets now suggest a 60% probability of a Federal Reserve rate cut in March.
Globally, traders are increasingly speculating on a rate cut by the European Central Bank (ECB) in March, influenced by dovish comments from ECB officials. Francois Villeroy, an ECB member and the head of the Bank of France, expressed concerns on Wednesday, citing that “disinflation is happening more quickly than we thought.” These sentiments contribute to the growing expectation of monetary policy adjustments in the coming months.
Gold Technical Overview:
- Moving Averages (Exponential):
- MA 10: $2024.63 (Positive Crossover – Bullish)
- MA 20: $2009.25 (Positive Crossover – Bullish)
- MA 50: $1976.73 (Positive Crossover – Bullish)
- Moving Averages (Simple):
- MA 10: $2031.10 (Negative Crossover – Bearish)
- MA 20: $2001.82 (Positive Crossover – Bullish)
- MA 50: $1957.12 (Positive Crossover – Bullish)
- RSI (Relative Strength Index): 58.68 (Neutral Zone – Neutral)
- Stochastic Oscillator: 33.64 (Neutral Zone – Neutral)
Resistance and Support Levels:
- Resistance:
- R1: $2035
- R2: $2082.09
- Support:
- S1: $2006
- S2: $1979
Overall Sentiment: Bullish | Market Direction: Buy
Trade Suggestion: Limit Buy at $2036 | Take Profit at $2050 | Stop Loss at $2031