The major support zone is $4,319.61 to $4,230.51. It has been tested successfully three times since early September. The first resistance zone is $4,384.59 to $4,405.59. Sitting inside this zone is the main top at $4,399.67.

Trader reaction to the resistance cluster at $4,317.93 to $4,319.61 is likely to set the tone on Friday. A sustained move over $4,319.61 could generate the upside momentum needed to challenge $4,384.59 to $4,405.59. A sustained move under the 50-day MA would indicate that sellers are still in control with $4,230.51 the next potential target.

What to Watch

Gold has buyers after a third successful test of the support zone since early September. The 50-day at $4,317.93 and the 50% level at $4,319.61 are sitting directly above the market. That cluster is where Friday’s session gets decided.

The dollar eased Friday but is still up more than 1% for the week with back-to-back weekly gains. Treasury yields are off Thursday’s highs without reversing the move. Crude is lower on the Hormuz-talks headline. Gold is bouncing on the combination. University of Michigan and durable-goods data are the next inputs. The bond market has been repricing on strong numbers all week. Friday’s data tells the market whether the repricing continues or the week ends with a pause.

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