ADP Nonfarm data released last night showed that the U.S. labor market has made positive progress, even as the government has yet to resume operations.
Along with that, FED Chairman Powell stated that the October rate cut would be the final one for this year.
These two pieces of news together have supported Gold’s return to its upward momentum amid the low interest rate environment. However, there remains one crucial milestone that Gold must surpass — the $4,000/ounce level.
Since there is no Nonfarm report this week, the market will focus on the CPI index next week to see whether there will be any surprises from the FED later this year.
As for Hung, he feels that the market will become much more active toward the end of the year, and if Gold can return to the price range above $4,000/ounce, there is a strong possibility that the bullish trend will resume, as year-end is typically the time when investors buy Gold heavily.
Technical Analysis:
Trí Hùng
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