The US Dollar (DXY) is holding steady after robust US Jobs data on Friday’s NFP announcement. An upward surprise in the Jobs data sent Us Treasury Yield soars and the market anticipates further interest rate hikes from the US Fed. Non farm Payrolls Data came out at a surprising 514k new added jobs vs an expectation of 185k.
Gold (XAUUSD) experienced a sell-off on the US NFP announcement, trading to a year’s low of circa $1861. This price action broke a strong upward trend that had pivot from a down trend on 4th November 2022 NFP Announcement. There is strong support level at $1601 and strong resistance level at $2072 which bring focus to the next data print and it’s effect to the price action. There is a strong inverse relationship between Gold and US Dollar (DXY) in the current financial market condition