Be Cautious Ahead Of U.S. ISM Manufacturing PMI Data; $15+ Volatility Expected In GOLD

U.S. ISM Manufacturing PMI

U.S. will release ISM Manufacturing PMI data around 1400 GMT/1930 IST. It’s a leading indicator of economic health – businesses react quickly to market conditions, and their purchasing managers hold perhaps the most current and relevant insight into the company’s view of the economy. This data is derived by a Survey of about 300 purchasing managers which asks respondents to rate the relative level of business conditions including employment, production, new orders, prices, supplier deliveries and inventories. If actual data comes above 50.0 as well as higher than expectations, it indicates industry expansion.

Let’s take a quick preview how GOLD has reacted during the previous data release:

Sept 01

Aug 03

July 01

Technical View:

XAU/USD (GOLD): Gold rises gradually on Thursday and remains well supported above $1,890 mark. Today pair made intraday high at $1,900 and low at $1,884 mark. A sustained close above $1,897 requires for the upside rally. On the other side, consistent close below $1,885 will check key supports as well. Key support levels are seen around $1,876, $1,862, $1,854, $1,849, $1,840, $1,822, $1,809 and $1,787 mark respectively. Key resistances are seen at $1,902, $1,908, $1,917, $1,932, $1,940, $1,947, $1,957 and $1,972 marks respectively.

Take a look and do trade wisely!
Good Luck