Gold Rallied after the NFP

The US Change in Non-farm Payrolls had an incredible effect on the market today. In the past few months it mostly caused whipsaws, but today’s data gave various currency pairs and other instruments a clear direction. In Gold’s case that direction was up. Gold has tested the support at $1,200 many times over in the past three months but could not break below it. Today it bounced off it again and rallied, climbing all the way to the resistance at $1,240. For now it is still testing that resistance level and it will likely continue doing so at least until the beginning of next week. A possible breakout above the resistance could lead to a further move to the upside towards $1,280, and if it bounces off the $1,240 it will likely fall to test $1,200 yet again.