The mixed US employment report fails to deter the Fed’s faster tapering and tightening expectations, which could likely temper gold’s solid recovery from monthly troughs. Although the downside appears cushioned in the bright metal amid looming uncertainty over the Omicron covid variant and upcoming US Inflation data. The renewed upside in gold could pick up pace should the Treasury yields and the US dollar fade their rebound, in the face of a data-light docket.
Gold Price: Key levels to watch
The Technical Confluences Detector shows that the gold price is consolidating Friday’s rebound below the SMA10 one-day at $1,785.
Gold bulls await a sustained break above the latter to test a strong upside barrier in $1,787, which is the confluence of the Fibonacci 23.6% one-month, SMA50 four-hour and Friday’s high.
Critical resistance at $1,792 is the level to beat for gold bulls. That price zone is the intersection of the SMAs50, 100 and 200 one-day.
