Gold prices rose yesterday after the ADP employment data released yesterday showed a decline in the total number of private sector workers in August, excluding the plantation and government industries.
The figure released yesterday was 99K lower than expected (144K) and the previous month's figure (111K).
However, the increase in gold prices was not significant as the unemployment claims data and services PMI showed positive figures.
Tonight is a day that investors look forward to as the NFP data to be released will be an important indicator for the market.
This data is the focus of investors because NFP is one of the indicators observed by the Federal Reserve (FED) to determine interest rates.
Based on the XAU/USD chart which measures the value of gold against the US dollar, the price shows momentum continuing to rise upwards from the 2490.00 level to reach a height of 2520.00 before falling again.
On Friday's trading, the price of gold was seen to continue to rise but remained limited below the 2520.00 level.
The price of gold has the potential to test the 2527.00-2530.00 zone which was a resistance last week, if the price still wants to continue the momentum.
If the price is able to surpass that level, the next concentration zone cannot be expected by investors since 2530.00 is the highest in history reached by the price last August.
On the other hand, if gold wants to make a decline, investors expect the 2500.00 level as a potential price break and test of that level.
For a further decline after the signal of a bearish trend change, the price of gold is at risk of falling to reach around the 2473.00 zone.
