FX.co ★ Analysis of Gold for January 29,.2021 - Watch for selling opportunities due to overextend condiiton wit the target at $1.863

US employment cost Index with the 4th quarter

• compensation 0.7% vs. 0.5% last quarter. Estimate 0.5%
• wages and salaries 0.9% vs. 0.4% last quarter
• benefits 0.6% vs. 0.6% last quarter
• private industry sole compensation increase 0.9% vs. 0.5% last quarter. Wages and salaries rose 0.9% vs. 0.5% last quarter. Benefits 0.6% vs. 0.5% last quarter
• government sole compensation increase 0.5% vs. 0.4% last quarter. Wage and salary +0.5% vs. 0.1% last quarter. Benefits 0.6% vs. 0.8% last quarter

Pres. Biden is looking toward a $15 minimum wage. If he is able to get it through, we could expect to see increased employment costs down the room. However there is skepticism on being able to get that past as a national across the board increase.

Further Development

Analyzing the current trading chart of Gold, I found that the buyers got exhausted today and the downside rotation would be probably to correct strong upside movement from today.

Watch for selling opportunities with the potential downside target at the price of $1,863 and $1,853.

Key Levels:

Resistance: $1,875

Support levels: 1,863 and $1,853.