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James Stanley, senior strategist at DailyFX, reports that gold has been consolidating in a tight range after a significant sell-off on Monday.
According to Stanley, gold prices have been fluctuating between 4200 and 4135 throughout the week, with upcoming NFP data cited as a possible catalyst for breaking this range. Resistance levels are identified at 4235 on the upside and 4104 on the downside.
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James Stanley has previously discussed how crowded USDJPY trades could react to upcoming U.S. nonfarm payrolls data in recent commentary. He also observed diminished USDJPY selling as traders monitored Bank of Japan and Federal Reserve policy changes in an earlier note at DailyFX. Both analyses reflect his focus on major event risks and their impact on currency markets.