Gold analysis 04.09.2020

Futures contracts for gold prices fluctuated in a narrow range slanting to an upward trend during the Asian session, to witness its retracement of the second session from its lowest since the 27th of last August amid the bounce of the US dollar index to the second session from its highest since the 28th of the same month according to the inverse relationship between them on the cusp of developments And economic data expected on Friday by the US economy, the largest in the world.

At exactly 05:33 am GMT, gold futures contracts for next December delivery rose 0.33% to trade at $ 1,944.30 per ounce, compared to the opening at $ 1,938.00 per ounce, knowing that the contracts started the session on a rising price gap after it was concluded Yesterday's trading was at $ 1,937.80 per ounce, with the US dollar index declining 0.07% to 92.77 compared to the opening at

92.84.

Investors are currently awaiting the US economy to disclose labor market data with the release of the employment change index reading for sectors other than agricultural, which may reflect 1,375,000 added jobs compared to 1,763,000 jobs added in July, while the average hourly income index reading may clarify. Consolidation at zero levels, compared to 0.2%. This is with the unemployment rate reading showing a decline to 9.8% from 10.2% in July.

Technical analysis

Gold price continues to fluctuate around 1934.86, and attempted to break it yesterday, but it returns to trade above it now, which keeps opportunities available for resuming the main bullish trend, which targets the levels of 1967.90 then 2008.80 as the next positive steps.

On the other hand, we should note that breaching 1934.86 and holding below it will stop the expected rise and pressure the price to test 1901.80 areas before any new attempt to rise.

The expected trading range for today is between 1920.00 support and 1970.00 resistance.

The expected general trend for today: Bullish.