The moderate decline of the dollar in the financial markets on the new trading day supported ounce gold somewhat. However, the expected strong increase in non-farm payrolls (NFP), which will be announced by the US Department of Labor next Friday, may ease the recession pressure that the US Federal Reserve (FED) is facing on aggressive monetary tightening. As a matter of fact, the production PMI published yesterday by IHS Markit and S&P Global for the USA was 52 points in September. This revealed that economic activity in the USA is still resistant compared to developed countries. In this framework, we continue to monitor the descending channel movement in ounce gold. As long as the 1724 level, which is indicated by the 50-period simple moving average (MA) as the determinant of the channel, is defended as a resistance, the risk of the commodity falling down to 1680 behind 1695 will continue to reside in the contracts.

Support: 1695 – 1680 – 1676
Resistance: 1724 – 1738 – 1752