On Wednesday (December 10) in early Asian trading, spot gold traded in a narrow range, currently hovering around $4210 per ounce. The Federal Reserve's monetary policy remains a crucial indicator for the gold market. The two-day FOMC meeting concludes on December 10th, with market traders widely betting on a 25 basis point rate cut this week, a probability as high as 87.4%. This optimistic expectation attracts bargain hunting, supporting gold prices, as rate cuts typically reduce the opportunity cost of holding gold, driving funds into the precious metals sector.

The Job Openings and Labor Turnover Survey (JOLTS) released by the U.S. Department of Labor is the focus of market attention. Job openings rose slightly to 7.67 million in October, far exceeding economists' expectations of 7.15 million. This data indicates that despite sluggish hiring activity, labor demand remains strong, highlighting the resilience of the U.S. economy. Following the report's release, the US dollar index rose 0.1% to close at 99.21, strengthening for the second consecutive trading day. This put some pressure on gold, as a stronger dollar typically diminishes the attractiveness of dollar-denominated gold.

Looking at the daily chart for spot gold, the market is currently awaiting the outcome of the Federal Reserve meeting, resulting in relatively low price volatility over the past two days. Gold prices have remained largely above the $4200 mark. A dovish signal from the Fed would be necessary to break through the key resistance level of $4250. Currently, short-term moving averages offer limited support, and the MACD indicator is trending in both directions, so patience is advised before the news is released.

On the 4-hour chart, gold prices saw a slight rebound during yesterday's US session. While the rebound wasn't significant, it at least demonstrated support levels, reflecting the anticipated Fed rate cut. The moving averages are currently in a mixed formation, indicating that the direction of the market is still undecided. The MACD lines are both near the zero line, so a buy-low-sell-high strategy is recommended for now, waiting for the meeting to conclude before making further moves. Resistance: 4215-4220-4230; Support: 4200-4190-4180.

Disclaimer: The article is contributed by the market analyst from Bitop market observation team. The content is solely for personal opinions and sharing. The analysis is time-sensitive and provided for reference and discussion only. It does not constitute any investment advice. The market is risky, so investing should be done cautiously.