U.S. PMI Data May Capture $10+ Movement In Gold
U.S. Manufacturing & Services PMI
U.S. will release manufacturing as well as services PMI data around 1345 GMT/1915 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 via survey of about 800 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 higher than expected, it will be good for U.S. dollar. This time market has anticipated slightly lower reading than previous one.
Let’s see how gold has reacted during the previous data release:
XAU/USD (Gold): Gold falls sharply and hits fresh 6 – week low at $1,873 mark. Today pair made intraday high at $1,905 and low at $1,873 mark. A sustained close above $1,975 requires for the upside rally. On the other side, consistent close below $1,900 will check key supports as well. Key support levels are seen around $1,862, $1,849, $1,840, $1,822, $1,809 and $1,787 mark respectively. Key resistances are seen at $1,922, $1,932, $1,940, $1,947, $1,957, $1,972, $1,982, $1,994, $2,008, 2,020, 2,038 and $2,063 marks respectively.
Take a look and do trade wisely!