Yesterday's gold market was really frightening. First, the Federal Reserve announced an interest rate of 50 basis points, which was higher than market expectations. The price of gold rose from 2567 to 2600, setting a new historical high again. Then Powell's speech showed hesitation and uncertainty, and pointed out that the Fed was not in a hurry to cut interest rates. It would proceed at a suitable pace or slow during the interest rate cut cycle. This dovish speech led to a decline in investors' attractiveness to gold. The gold price plummeted from 2600 by $50 and stabilized the decline in the 2550-2560 range.
However, since the 50 basis point interest rate cut is already on the table, the Federal Reserve has launched a monetary easing policy and the first rate cut is larger than before. This makes the market believe that there may be another 50-100 basis point interest rate cut before the end of this year. Therefore, gold is now back again The high area of 2590.
Although there is still the possibility of interest rate cuts before the end of the year, I think that is a long-term problem, and for us who are short-term traders, it is not the focus of attention.
From the market point of view, after yesterday's sharp decline that started at 2600, the shape of gold has changed, and it is in line with the short-term peak signal.
Therefore, my view on the current gold is that it is bearish in the short term and bullish in the long term.
Trading strategy:
Now the gold price has reached the high range of 2600-2590. As long as it does not set a new high again, you can boldly sell here
However, since the 50 basis point interest rate cut is already on the table, the Federal Reserve has launched a monetary easing policy and the first rate cut is larger than before. This makes the market believe that there may be another 50-100 basis point interest rate cut before the end of this year. Therefore, gold is now back again The high area of 2590.
Although there is still the possibility of interest rate cuts before the end of the year, I think that is a long-term problem, and for us who are short-term traders, it is not the focus of attention.
From the market point of view, after yesterday's sharp decline that started at 2600, the shape of gold has changed, and it is in line with the short-term peak signal.
Therefore, my view on the current gold is that it is bearish in the short term and bullish in the long term.
Trading strategy:
Now the gold price has reached the high range of 2600-2590. As long as it does not set a new high again, you can boldly sell here
Trade active
Gold prices are starting to fall, and our Sell orders in the 2600-2590 range are also making profits. Continue to holdTrade active
The just released US unemployment claims for the week ending September 14 are bearish for gold, which is good news for us. Continue to holdTrade active
The gold price has now fallen to around 2575. There is a certain support here. If you are more cautious, you can take profits here first.Trade active
If the gold price rebounds again, I will look for the right opportunity to sell again.Trade active
The price of gold has reached above 2590 again, I think we can sell again hereTrade active
I am still holding the short position I entered at 2590 yesterday. Today, the gold price hit a new high again, reaching 2620.After analysis, I think the high point this time will most likely be in the range of 2620-2630, so I will continue to hold the short position and increase the position in this range to increase the average price of the position.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
If you want to get my thoughts on gold as soon as possible, welcome to join my channel
📣Free channel: t.me/Antony_TP
⚜️Copy Trading Contact me: t.me/AntonyTP
📣Free channel: t.me/Antony_TP
⚜️Copy Trading Contact me: t.me/AntonyTP
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.