FXStreet (Mumbai) – Gold price on Comex extends its consolidative mode from the previous session, awaiting fresh updates from the US employment data due later in the day.
Gold forms a doji on daily charts
Currently, gold trades -0.09% lower at 1138.70, having posted a high at 1141.90 and a low at 1134.90. Gold prices traded in a narrow range on Wednesday as traders are cautious ahead of the US employment report that will also be closely watched by the Fed officials ahead of their next meeting.
The ADP employment report may show 200,000 new job creations in the US economy, excluding the farming sector, in August, after a rise of 185,000 a month before.
Analysts at ANZ noted, “Our central case remains for the Fed to hike in September based on our expectation of a solid August employment report and stabilization in financial markets. Concerns over global growth prospects reinforce expectations of a modest normalization cycle from the Fed.”
Moreover, a stronger greenback on the back of correction after the recent risk-off led drop also weighed on the yellow metal. The US dollar index, a virtual gauge of greenback’s relative strength, trades firmer at 95.72, up 0.35% on the day.
Gold Technical Levels
The metal has an immediate resistance at 1147.30 (Today’s High) and 1156.30 (Aug 25 High) levels. Meanwhile, support stands at 1134.90 (Today’s Low) below which doors could open for 1125 (Aug 31 Low) levels.
(Market News Provided by FXstreet)