Gold – Prices could test 38.2% Fibo hurdle on weak US data

Resistance - $1363, $1370, $1380

Support - $1357, $1350, $1340

• Gold is moving in a minor falling channel on the hourly chart.
  

• Despite gold’s retreat from the recent high of $1375 to $1350 yesterday, the overall bullish outlook remains intact; hence a bullish break from the falling channel could yield $1380 (38.2% of 2011 high – 2015 low).
  

• On the other hand, failure to take out falling channel resistance followed by a break below previous day’s low of $1350 would open doors for a slide to $1343-1340 (falling channel support).
  

• Only a bearish break from falling channel would suggest a short-term top is made at $1375 and could yield a drop to $1300 in days ahead.
  

Note – Weak US data (non-farm payrolls and/or wage growth figures) could push gold higher to $1380. A daily closing above the same would expose $1400-1433 levels.