- Gold remains in consolidation mode after brief drop to $1727.
- XAU/USD heading to the lowest weekly close since March 2021.
- Positive sign from the US labor market
Gold continues to trade sideways around $1740. Following the US employment data it fell back to $1727, marking a new intraday low in nine months, but rebounded quickly.
The US jobs report showed the economy added 372,000 jobs in June, higher than the market consensus of 268,000. The unemployment rate remained at 3.6%. The data removes the possibilities of a recession, but marks a slowdown, as it is the lowest rate of job creation since April 2021.
XAU/USD is trading range-bound at $1,750 with support at $1,735. As long as it remains within it, without a confirmed break, lateralization will remain firm.
XAU/USD weekly chart
The yellow metal is consolidating an $80 weekly drop, which is on track to be the biggest in over a year. The weekly closing ending around $1,740 will be the lowest since March 2021. The weekly chart remains negative, and the only positive aspect is the proximity to oversold levels and the four weeks in a row with declines.
Technical levels
Source: Fx Street
With 6 years of experience, I bring to the table captivating and informative writing in the world news category. My expertise covers a range of industries, including tourism, technology, forex and stocks. From brief social media posts to in-depth articles, I am dedicated to creating compelling content for various platforms.
