Gold ended higher after a volatile session, snapping a five-week losing streak, as the dollar fell sharply after a report showed that U.S. employers unexpectedly cut jobs in December. Gold is showing as a strong up week at the current 1136 level. This is the first up week after 5 down weeks that saw the unit trade from 1226.5 to 1075. The Metal remains below Dec 17 high of 1141 so our view is that we are in a consolidation range. Support is seen at last weeks high of 1114. A break above 1141 opens up a potential move towards the 1168 level, which was a weekly high and 61.8% Fibo of our December down move. Now support for the gold MCX is seen at 16867 and below could see a test of 16835. Resistance is now likely to be seen at 16920, a move above could see prices testing 16941.

Trading Ideas:

Gold trading range is 16650-17150.

Gold closed positive when dollar was undermined by a softer-than-forecast employment report

SPDR Gold Trust Holdings fell by 4.33 tonnes and settled at 1119.54 tonnes.

Gold is getting resistance at 1640 level and 1133$ in spot

BUY GOLD FEB ABV 16960 SL 16870 TGT 16999-17022-17064-17100.MCX