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By: Ahura Chalki
Ahead of US employment data!
The first day of the month starts with the most important news of the month, as well. Thanks to the weaker USD, Gold could save its recent gains. DXY trading at $97 ahead of employment data from the US, while investors are positive about that, especially after better than expected data in the ADP employment and GDP. Despite the newest worries about the trade talks, it seems the investors and traders prefer to wait for NFP, rather than react so fast on that, as it can change anytime to the negative or positive direction. There are two scenarios for Gold. The market will be optimistic about economic growth with a positive NFP data and gold also will be back to its recent downtrend at least up to $1460, or negative NFP will add the fears and September high above $1560 will be in focus.
Technical indicators at the H1 chart, totally remain of mixed signals. RSI still moves above 50-level, however it is sloping down sharply, while Parabolic SAR started forming its dots above the candles after the latest return from $15141. Candles breaking EMA20 level, while still being above EMA50 and 200 with generally positive signals. Heiken Ashi candles, clearly confirming downside movement, at least for correction for now.
Pivot point: 1508.33
Resistance levels: 1522.92 / 1528.80
Support levels: 1502.46 / 1487.87
Today the expected trading range is between 1487.87 support and 1528.80 resistance.
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