• Gold has shown a jump of $12 on account of slight weakness in US dollar index.The yellow metal has formed a temporary bottom around $1237 and shown a recovery of more than $25.US economy has added 213000 jobs in the month of June compared to forecast of 195000. Unemployment rate remains steady at 3.8% but wage growth came at 2.7% slightly below expectations of 2.8%.The increase in geo political tensions has raised demand for safe haven assets such as gold. US dollar index has lost more than 50 pips on Friday after slight below expectations of wage growth .It hits low of 93.71 and is currently trading around 94.09.The index should break above 95.53 for further bullishness.
   
• The pair is facing strong trend support at $1239 (trend line joining $1046 and $1122) and any break below will take the yellow metal till $1234 (200- W MA) and any weekly close confirms further weakness.
   
• The near term resistance is around $1266 (20- day MA) and any convincing break above will take the yellow metal till $1270/$1275 (23.6% fib).
  
  It is good to buy on dips around $1255-57 with SL around $1250 for the TP of $1270/$1275.