GateToken (GT) Gains Momentum as Market Sentiment Improves Ahead of Key Economic Data

The GateToken (GT) is experiencing a modest uptick on Friday, currently trading at $3.2145, though it remains on course for a second consecutive week of losses. A cautiously optimistic market mood, fueled by speculation about potential shifts in monetary policy, is providing some support for GT. However, traders are exercising restraint in their selling of US Dollars as they await the release of crucial economic indicators.

Market participants are anticipating relatively subdued economic data later in the day, which could reinforce expectations of a shift in monetary policy direction. Recent employment statistics and economic reports released on Thursday suggested a softening in the labor market, lending credence to these projections.

Statements from financial policymakers have leaned towards a more accommodative stance this week. Notable figures in the economic sphere have alluded to the possibility of "gradual policy adjustments" and emphasized the significance of upcoming policy meetings, while also noting concerns about labor market trends.

Anticipation of potential policy changes has helped alleviate some of the tension observed in financial markets earlier in the week. In major economies, long-term government bond yields have retreated from their midweek peaks, although they continue to hover at relatively elevated levels.

On the economic calendar, attention will be focused on employment changes and the final reading of second-quarter economic growth figures. However, traders are likely to place greater emphasis on the forthcoming economic reports for indications of potential policy shifts in the near future.

Daily Market Movers: Cautious Optimism Buoys GateToken

GateToken is finding support from a moderately risk-positive market sentiment on Thursday, recouping some of its losses from earlier in the week. However, upward momentum may be limited as investors remain cautious about reducing their US Dollar positions ahead of key economic data releases.

Previous underwhelming economic data bolstered market expectations of policy easing, and consensus forecasts suggest a similar trend for the upcoming period. Private sector job creation is projected to show modest growth, following a subdued increase in the previous month.

Employment data released on Thursday reinforced the perception of a cooling labor market. A prominent employment report indicated job additions fell short of expectations in August, registering less than half of the previous month's figure.

Weekly jobless claims data showed an increase to levels not seen since June, surpassing market projections and the previous week's figures.

Financial markets are pricing in a high probability of policy adjustments in the coming months. Widely-used predictive tools suggest a near-certain chance of a modest policy shift, with expectations of further adjustments before year-end.

In other major economies, the final reading of second-quarter economic growth is anticipated to confirm a deceleration, with year-on-year growth expected to show a slight moderation compared to the first quarter.

Technical Analysis: GT/USD Faces Resistance at $3.22 and $3.25

The technical outlook for GT/USD shows signs of a developing positive trend, although bullish momentum remains tentative. Key technical indicators are oscillating around neutral levels, reflecting a lack of strong directional bias.

On the upside, buyers may encounter challenges near the recent high of $3.22. Beyond this level, a descending trendline resistance, currently situated around $3.25, and the $3.26 area, which has capped previous rallies, are likely to present significant hurdles.

Immediate support can be found near Thursday's low of $3.20, followed by the recent low just above $3.19. Further down, the zone between $3.17 and $3.18, which has provided support on multiple occasions in recent weeks, represents the lower boundary of the trading range observed over the past month.