GOLD → Price dump before NFP. Will we go to 2400?

7 Jun

XAUUSD is manipulatively declining and catching buyers by surprise (liquidation) before the news. Price may start a strengthening phase from strong support (2330-2325) on the back of weak dollar



Traders are waiting for NFP to be released at 12:30 GMT. Yesterday, the market received 229K on Initial Jobless Claims, which generally gives hints of a possible scenario. The dollar index may continue to lose ground amid the general environment, markets are slowly but already starting to prepare for Fed policy easing.
NFP is expected to be 183K vs. previous 175K, but the focus is on the actual data. If those are below the expected 183K, the dollar will break key support and fall under a wave of sell-offs, which would be a favorable scenario for gold. But, the problem with news is its unpredictability. Data above 185K may strengthen the dollar (But not for long).

Resistance levels: 2354, 2374
Support levels: 2328

There is liquidation and strong selling by buyers, but it happens before the news (there are interesting thoughts, but... ). Below 2328 the price may not be allowed (from a technical point of view) and it would be logical to expect a false breakdown or a rebound from the liquidity block to which the price has approached.

Regards R. Linda!