FXStreet – After the initial decline to the weekly low Gold launched a strong recovery and the 1270 was overcome to form after the disappointing US, the new 5 job data-week high.
The metal could extend its recovery after the disappointing US labour market data. It was created in may, only 138K new jobs, which is less than the expected 185K. In addition, the month-on-month result of 211K has been revised to 174K down.
The average hourly wages fell on an annual basis with a 2.5% expected and 2.6%. Only the unemployment rate was positive, as it unexpectedly fell to 4.3%.
The disappointing job data reduced expectations for a faster tightening of Fed monetary policy. The U.S. Treasury bond yields, and Gold is benefiting from this circumstance.
About 1275-76, the next Resistances lie at 1280 and 1288-90. On the other hand, supports are located at 1270-68, 1262-60, 1250 and the 200-day SMA of 1242.
** FXStreet News Editorial, FXStreet**