Gold Trades Cautiously Ahead of Key U.S. Jobs Report

Gold is trading within a narrow range during Friday’s European session, maintaining a constructive tone despite Thursday’s sharp rejection at the pivotal $3400 level and a daily close in the red.

The near-term price action remains centered around support at $3355 (broken 61.8% Fibonacci of $3200/$3120 pullback) and above the 10-day moving average at $3335. This area has withstood multiple bearish attempts, offering a measure of short-term resilience.

On the daily chart, the broader technical outlook remains bullish, even as upward momentum begins to fade. However, early bearish signals are emerging on the hourly chart, including a break below the Ichimoku cloud base and weakening 14-hour momentum—though these signals still require confirmation.

From a fundamental perspective, gold remains sensitive to macroeconomic developments. A surprise call between U.S. President Trump and Chinese President Xi helped ease trade tensions, while weaker-than-expected U.S. jobless claims—hitting a multi-month high—added to concerns about the labor market.

Attention now turns to the U.S. May Nonfarm Payrolls report (forecast at 130K vs. 177K in April). A downside surprise could significantly boost gold prices, while stronger-than-expected results may weigh on the metal, albeit modestly.

The report is expected to provide further insight into the health of the U.S. labor market and may influence the Federal Reserve’s near-term policy direction.

Res: 3375; 3403; 3410; 3437
Sup: 3335; 3318; 3300; 3290