Will USD continue to drag on gold?
The dollar may be trading a little softer today but another strong day on Thursday is keeping the pressure on gold which has been weighed down by it over the last couple of weeks. It remains above $1,280, a major support level, a break of which could be the catalyst for another significant decline, with $1,260 being notable support below.
The dollar is always vulnerable to the release of the US jobs report so today could bring volatility for gold also. Gold has also been weighed down by improved sentiment in the markets so a strong jobs report today could see $1,280 come under real pressure.
Gold Daily Chart
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