Gold fell almost 1 percent to $1,212.8 an ounce, the lowest in nearly four months on Friday after stronger than expected United States jobs data increased the likelihood of another U.S. interest rate increase and the dollar rose. U.S. non farm payrolls jumped by 222,000 jobs last month, the Labor Department said, beating expectations of a 178,000 gain, highlighting the strength of U.S. labor market. Bullion was pressured down on the stronger dollar.
Federal Reserve Chair Janet Yellen will deliver testimony in the House of Representatives next week, and is expected to maintain its stance on gradual interest rate hike, posing limited impact on financial market. An upbeat inflation report would fuel expectations on tightening monetary policy, further lifting the dollar and weighing on gold.
On technical front, gold hit the lowest in nearly four months on better-than-expected U.S. non farm payrolls, but is expected to recover in coming sessions. The support and resistance can be found at $1,210 and the 200-day moving average of $1,232 respectively.
Silver fell over 3 percent to $15.58 per ounce, after falling 7 percent within one minute of trade to $14.86 an ounce, its lowest in 15 months. The fall might be triggered by an order made by mistake, and was narrowed down later in the session. The white metal is expected to rebound after Friday’s shall decline, but would keep in the downward path. The support and resistance can be found at $15 and the 50-day moving average of $16.74 respectively.

 
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