On Friday, the precious metal gold is trading mostly flat in a narrow trading range of around 1400- 1420, however, gold prices are still are on the track of the 7th straight weekly surge.
You probably know there’s a strong negative correlation between the U.S. dollar and gold. Therefore, the U.S. economic events do heavily impact the precious metal gold prices.
With that being said, all eyes are now on the U.S. non-farm payroll, which is forecasted to have surged by 160k in June versus just 75k in May. The data is due later in the U.S. session today. Weaker-than-anticipated data from the jobs report could boost sentiments that the U.S. Federal Reserve would cut interest rates at its forthcoming monetary policy meeting on July 30 and 31.
Gold’s Technical Outlook
On the technical side, gold is still facing strong double bottom support at $1,410 where the violation of this level has the potential to trigger a sell-off until $1,391 and $1,382.
On the 4 hour chart, the series of 2, 25 and 50 periods EMA are also extending support to gold around $1,403
Key Trading Level: 1415.14
I will be considering to stay bearish below $1,415 to target $1,400. While buying can also be seen over $1,400 psychological levels. All the best!