Forex. Gold trading forecast and signal for today May 6, 2021
On Wednesday, the price of Gold strengthened to the level of $ 1,782 per ounce.
A day earlier, the quotes fell against the background of statements by US Treasury Secretary Janet Yellen. The former head of the Federal Reserve suggested in an interview that the regulator may need to raise interest rates to prevent the economy from overheating. But she later said she did not predict or recommend a rate hike by the Fed. Yellen also noted that rapidly rising inflation will not be a permanent problem for the country's economy.
Gold is still in a good position despite the recent drop, and could go even higher if the Fed remains flexible in the face of high inflation.
On Wednesday, ADP reported that U.S. businesses created 742,000 new jobs in April, the most in seven months. Gold prices fell immediately after the release of the report on employment in the private sector, and then rose sharply. The data comes ahead of the key official US non-farm payrolls report on Friday. According to forecasts, the number of jobs is expected to grow by almost a million. A strong release will support the dollar and return Gold to the middle of the range. The weak data will allow the precious metal to come close to the $1,800 resistance again.
Gold trading signal for today May 6, 2021
In the forecast, the price of Gold is expected to rise to the levels of 1785, 1790, 1795 Dollars per ounce.