Gold Has All But Reached $1,300

After a long consolidation and several days of slowly moving to the downside Gold has finally all but reached the crucial support level at $1,300. The question is whether it will be able to break below that level or not. A possible breakout below that support could lead to a further drop towards $1,250 or even towards $1,230, and if Gold bounces off of it, it will likely climb back towards $1,350 – $1,360. All that said, I think it is highly unlikely for us to see any resolution to that question today. I think Gold is likely to consolidate around $1,300 until the US Non-Farm Payrolls tomorrow, and its reaction to the data that will be released will provide us with an answer.