Long term unemployment remains stable
Gold prices moved higher on Tuesday for a second consecutive trading session, as the dollar restarted its downtrend following a respite last Friday. US yields moved higher following last weeks larger than expected increase in non-farm payrolls. The Labor Department reported on Tuesday that long term unemployment has remained stable.
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Gold prices rebounded for a second consecutive trading session on Tuesday. Prices rebounded back to resistance near the 10-day moving average at 1,713. Target support is seen near the 50-day moving average at $1,700. Short term momentum has flipped flop and turned positive as the fast stochastic generated a crossover buy. The current reading on the fast stochastic is 35, just above the oversold trigger level of 20. Medium-term momentum remains negative as the MACD (moving average convergence divergence) histogram prints in the red with a downward sloping trajectory which points to lower prices.
The Labor Department reported that the number of Americans unemployed for more than 27 weeks economists’ general benchmark for long-term joblessness has held steady since the start of the year, at about 1.2 million people. Shorter-term unemployment, on the other hand, has skyrocketed, rising to 13.3% for May after rising above 14% in April.
David Becker focuses his attention on various consulting and portfolio management activities at Fortuity LLC, where he currently provides oversight for a multimillion-dollar portfolio consisting of commodities, debt, equities, real estate, and more.