Gold Gives up Gains, Eyes on US Jobs Data

Gold prices achieved noticeable losses during the previous trading session after it failed to maintain trading above the 1895 level, explaining that the confirmation of breaking the mentioned level is able to pressure gold prices to visit our official target located at 1880 to record its lowest level at 1856 during the early trading of today’s session.

On the technical side, and with careful consideration on the 4-hour chart, we find negative pressure from the simple moving averages, in addition to the breach of the 1895 support level, confirming also the breach of 1880.

Therefore, the bearish scenario remains valid and effective, taking into account that the stability of trading below 1856 increases and accelerates the strength of the daily bearish trend to visit the first target 1846 and then 1838 correction of 38.20%, and losses may extend later to visit 1824.

Activating the bearish scenario depends mainly on the stability of trading below the previously broken support, which turned to the 1880 resistance level.

Note: US job Data due today may cause volatility.

S1: 1846.00	R1: 1899.00
S2: 1824.00	R2: 1930.00
S3: 1793.00	R3: 1952.00