Gold keeps highs around $1,265 post-US data

The ounce troy of the precious metal is advancing around 1% to levels above $1,260 following the report from the US labour market.

Gold supported near $1,250

Bullion has gathered further upside traction after US Non-farm Payrolls have come in short of expectations for the month of September and the jobless rate has edged higher to 5.0% vs. 4.9% forecasted.

Despite today’s results, the probability of a rate hike by the Fed at the December meeting remains around 60% according to CME Group’s FedWatch tool, somewhat keeping potential pullbacks in USD shallow.

In the meantime, Gold is advancing for the first time after five consecutive retracements although it remains on its way to close its second straight week with losses.

Gold key levels

As of writing Gold is gaining 0.87% at $1,263.45 and a surpass of $1,313.38 (100-day sma) would aim for $1,326.45 (55-day sma) and then $1,344.45 (high Sep.23). On the upside, the next support lines up at $1,249.90 (low Sep.6) followed by $1,219.05 (50% Fibo retracement of the 2016 up move) and finally $1,199.00 (low May.31).