The yellow metal awaits new moves while keeping the latest bull run to around $1,730 during the early Good Friday in Asia. With most markets closed due to the international holiday, traders are likely waiting for markets in Japan and China to open for direction. Nevertheless, major attention will be given to the US employment figures for March.
Even Though US President Joe Biden’s $2.25 trillion infrastructure spending plan gets criticism from the business lobby and Republicans, markets praised upbeat US ISM Manufacturing PMI to portray the risk-on mood. Also supporting the sentiment could be upbeat vaccine news and unlocks in the UK and Australia.
US Treasury yields dropped the most in five weeks whereas Wall Street benchmarks cheered another stimulus, as well as hints for a few more, while positing over 1.0% gains each. Among them, S&P 500 refreshed the record top by crossing the 4,000 mark.
Given the expected lack of market volatility, XAUUSD is likely to remain restrained below the immediate resistance around $1,732. Still, the lack of liquidity can cause spikes and hence traders should be careful during such times.
Additionally, the market fears concerning covid resurgence and China versus the West can favor the US dollar, due to its safe-haven demand, which in turn may test the latest run-up. US employment figures for March have high hopes and any disappointment should be enough during the holiday-thinned trading to recall gold sellers.
Even Though there was a a successfully crossing a downward sloping trend line from January 29, gold needs to exceed the immediate obstacle, a two-week-old resistance line around $1,732, to persuade buyers for a further up move.
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