After a brief hiccup and slide overnight, gold is up once again Friday morning as investors flock like seagulls to the precious metal. RJO Futures Senior Market Strategist, Bob Haberkorn says “There is so much flight to safety right now and metals is where a lot of that money is going…traders that had been out of the metals market are coming back…and there’s been a lot of buying from new accounts”.
The latest spike in gold is most likely due to the August jobs report which came out Friday morning. According to the report, hiring in August was lackluster adding a measly 130,000 jobs throughout the month. However, the unemployment rate remained the same at 3.7% which is still just above the 50-year low. Nonetheless, all the uncertainty in the jobs market and the possibility of another rate cut has driven investors to the safety of gold.
Support and resistance levels for December gold are as follows:
Dec gold: Support level 1: $1500
Dec gold: Support level 2: $1460
Dec gold: Resistance level 1: $1546
Dec gold: Resistance level 2: $1566