Gold Hovers around $1,820 mark Ahead of U.S. NFP Job Data, $12+ Volatility Likely; May 07, 2021
U.S. NFP Employment Change
The wait is over as U.S. will release the most awaited Non Farm Employment Change data at 1230 GMT/1800 IST. Job creation is an important leading indicator of consumer spending, which accounts for a majority of overall economic activity. This is vital economic data released shortly after the month ends. The combination of importance and earliness makes for hefty market impacts. In addition, unemployment rate is generally viewed as a lagging indicator. The number of unemployed people is an important signal of overall economic health because consumer spending is highly correlated with labor-market conditions. Unemployment is also a major consideration for those steering the country’s monetary policy.
Let’s see how Gold has reacted during the previous data release:
April 02: FX Market remained closed in observance of Good Friday.
XAU/USD (Gold): Gold rises gradually on Friday ahead of U.S. NFP Job Data. The pair made intraday high at $1,823 an low at $1,812 mark. Today a day as well as H1 chart with triple EMA confirms Up Trend for the time being. A sustained close above $1,820 on H1 chart requires for the upside rally. Alternatively, reversal from here will take the parity down below $1,800 mark.
Key Resistances: $1,822, $1,827, $1,834, $1,840, $1,844
Key Support: $1,817, $1,812, $1,807, $1,802, $1,796
Take a look and do trade wisely!