The heaviest fall since late February couldn’t beat gold buyers as the metal stays above the key support line from March 31, near $1,851, on the key US NFP release day. Additionally important are the speeches of US President Joe Biden and Fed Chairman Jerome Powell. It should be noted that while MACD and RSI flash contrasting signals, bears will have a bumpy road even if they manage to break the $1,851 support. The reason could be traced to the monthly horizontal line and multiple tops marked from late April, respectively around $1,843 and $1,800 threshold.
Meanwhile, a corrective pullback will have to cross the 100-SMA level of $1,878 before targeting the $1,889-90 resistance area. It should, however, be noted that the $1,900 round figure and the latest high near $1,916 will act as extra filters to the north-run targeting the yearly top close to $1,960. Overall, gold’s uptrend is challenged but bulls aren’t out of the woods.
Meanwhile, a corrective pullback will have to cross the 100-SMA level of $1,878 before targeting the $1,889-90 resistance area. It should, however, be noted that the $1,900 round figure and the latest high near $1,916 will act as extra filters to the north-run targeting the yearly top close to $1,960. Overall, gold’s uptrend is challenged but bulls aren’t out of the woods.