Gold is stuck in a wide trading range as traders expect the US labour market figures today. Before the news release, Gold is expected to continue trading sideways and will be exciting to trade on non-farm payroll figures. Check the trade plan.

Technical Outlook – EMA Crossover

You can see on the 4-hour chart that Gold is trading below the 20 & 50 periods EMA, meaning the trend for Gold is still bearish.

Gold – 4 – Hour Chart

The leading indicators RSI and Stochastics, are stuck in the oversold zone (below 20), signifying the potential of a bullish reversal.

Is this not confusing? This happens when the economic calendar is packed with high impact economic events. Check out March 9 – Economic Events report for a detailed explanation.

Support     Resistance

1319.77      1327.57

1317.37      1329.97

1313.47      1333.87

Key Trading Level:    1323.67

Gold – XAU/USD – Trading Idea

I’m going to wait for the NFP data before opening any position in Gold. The idea is to stay bearish below $1,322. Better-than-expected NFP results can push Gold to $1,309 and below it.

Good luck!