Gold settled down -0.43% at 25863 in volatile trade, after the highly-anticipated U.S. nonfarm payrolls report for May came in broadly in line with market expectations. Also maket is hoping that Gold Import duty in India is set to be reduced, according to sources in the new government, but there's no word yet on the more important 80:20 rule. Also predicting a series of small reductions to India's 10% gold import duty. The Department of Labor reported that the U.S. economy added 217,000 jobs last month, just under expectations for jobs growth of 218,000. The data disappointed some market expectations for a more robust reading but indicated that the Fed is likely to stick to the current pace of reductions to its asset purchase program. Despite Friday’s lackluster performance, thanks to strong gains recorded on Thursday following the ECB’s decision to unveil fresh stimulus measures. The ECB cut the main refinancing rate in the euro area to a record low 0.15% and imposed negative deposit rates on commercial lenders, in a bid to stimulate lending to businesses. The central bank also implemented a new Long-Term Refinancing Operation, designed to help banks lend to small companies and said it would "intensify" its preparatory work on the 'asset-backed security' market. Gold prices have been under heavy selling pressure in recent weeks as upbeat U.S. economic data underlined the view that the economy is shaking off the effects of a weather-related slowdown over the winter. In the week ahead, investors will be looking ahead to Thursday’s U.S. retail sales report for further indications on the strength of the economic recovery. Now Gold is getting support at 25750 and below same could see a test of 25636 level, And resistance is now likely to be seen at 25983, a move above could see prices testing 26102.

Trading Ideas:

Gold trading range for the day is 25636-26102.

Gold dropped as the dollar rose after a closely watched monthly U.S. jobs report underscored expectations of a steady recovery.

While appetite for the metal initially picked up after the report, gains were capped by expectations that Fed will continue to unwind its stimulus measures.

Nonfarm payrolls increased 217,000 last month, the Labor Department said, against expectations for a 218,000 rise.