Gold was traded cautiously by investors ahead of the release of key data, the US jobs data tonight.
Employment data "NFP, Unemployment Rate and Average Hour Earnings" will be the main indicator of the Fed's direction at the December FOMC meeting.
The latest US ADP and JOLTS data readings have given a clear indication where the current situation of the labor market in the country has returned to balance.
If tonight's NFP data release shows a weak reading, the market will interpret that interest rate cuts next year are certain, and will sink the dollar index and treasury yields.
This situation is able to support gold to take its place again at the price level of $2,050. But if tonight's NFP shows otherwise, prices are expected to continue falling at least to the $2,000 price level.
Technical Analysis
Based on the daily chart, if the price level of $2,050 can be broken, the next obstacle will be concentrated at the price level of $2,100.
And if tonight's NFP is able to stimulate gold investors, $2,144 will be tested. On the other hand, if NFP strengthens the US dollar, $2,009 will be the barrier price before gold tests gold buyers at the $2,000 price level.
