Gold Spot / U.S. DollarUpdated 8.28 Gold shock pulls the battle between long and short!
Gold fell on Tuesday but consolidated near last week's all-time high as investors sought clarity on the extent of the Federal Reserve's upcoming rate cut ahead of this week's inflation report. Spot gold fell 0.32% to $2,510.28 an ounce at the time of writing. The dollar was largely unchanged, supported in part by rising geopolitical tensions, but remained near recent lows as the Fed was on the verge of cutting interest rates. Gold prices retreated in Tuesday trading as fears of a wider Middle East conflict appeared to ease, putting pressure on the traditional safe-haven asset.
A U.S. rate cut in September is a foregone conclusion, but the debate over how much to cut is likely to prompt investors to take a wait-and-see approach, waiting for upcoming economic data to further define their views. According to the Chicago Mercantile Exchange's FedWatch tool, traders are pricing in a 70 percent chance of a 25 basis point cut and about a 30 percent chance of a 50 basis point cut. A low interest rate environment typically boosts the appeal of non-yielding gold. A low interest rate environment tends to enhance the appeal of non-yielding gold. Gold prices are now pricing in a US rate cut cycle starting in September, so prices may struggle to reach higher levels in the near term unless weak US economic data supports a 50 basis point rate cut instead of the expected 25 basis points. The Fed's favorite inflation measure, U.S. personal consumption expenditures inflation, is due on Friday. The index will be closely watched, especially after Federal Reserve Jerome Powell all but confirmed a rate cut in September. The Fed said last week it was ready to cut interest rates, keeping investors focused on its upcoming September meeting, which could influence central bank monetary policy around the world. With the September Fed meeting looming, market volatility is expected to increase further, and investors will need to pay close attention to upcoming economic data and corporate earnings to adjust their investment strategies.
8.27 Gold market trend analysis:
Gold technical analysis: From the daily point of view, close to 7 trading days of gold in the 2510 line through the operation, but also the front to pull up the top line of the sun line, that is to say, after the gold pull up the horizontal adjustment for 7 trading days, the longer the time of high consolidation, the easier it is to digest the momentum of the bulls, the easier it is to retreat adjustment. At present, gold continues to maintain a high range of fluctuations in the daily trend, and the daily short-cycle average is basically flat at present, which tends to continue to maintain a partial volatile trend in the short-term trend. Most of this adjustment is based on interval operation, rather than turning unilateral bearish.
The short-period moving average on the 4-hour level began to gradually diverge downward, and the short-period moving average on the K line was slowly under pressure and was still weaker in the short-term trend. The strength of the hourly level after a rapid bottoming rally is not too large, and the price center of gravity is beginning to gradually move down. Gold tends to move out of the shock correction trend in Europe and the United States. Today is still staring at the position of 2518-20, broken more continued to rise, in this position to continue to see the fall. In summary, today's gold short-term operation on the idea of Jin Shengfu suggested that the rebound is mainly short, the callback is supplemented by more, the short-term focus on 2518-2520 resistance, the short-term focus on 2490-2493 support
A U.S. rate cut in September is a foregone conclusion, but the debate over how much to cut is likely to prompt investors to take a wait-and-see approach, waiting for upcoming economic data to further define their views. According to the Chicago Mercantile Exchange's FedWatch tool, traders are pricing in a 70 percent chance of a 25 basis point cut and about a 30 percent chance of a 50 basis point cut. A low interest rate environment typically boosts the appeal of non-yielding gold. A low interest rate environment tends to enhance the appeal of non-yielding gold. Gold prices are now pricing in a US rate cut cycle starting in September, so prices may struggle to reach higher levels in the near term unless weak US economic data supports a 50 basis point rate cut instead of the expected 25 basis points. The Fed's favorite inflation measure, U.S. personal consumption expenditures inflation, is due on Friday. The index will be closely watched, especially after Federal Reserve Jerome Powell all but confirmed a rate cut in September. The Fed said last week it was ready to cut interest rates, keeping investors focused on its upcoming September meeting, which could influence central bank monetary policy around the world. With the September Fed meeting looming, market volatility is expected to increase further, and investors will need to pay close attention to upcoming economic data and corporate earnings to adjust their investment strategies.
8.27 Gold market trend analysis:
Gold technical analysis: From the daily point of view, close to 7 trading days of gold in the 2510 line through the operation, but also the front to pull up the top line of the sun line, that is to say, after the gold pull up the horizontal adjustment for 7 trading days, the longer the time of high consolidation, the easier it is to digest the momentum of the bulls, the easier it is to retreat adjustment. At present, gold continues to maintain a high range of fluctuations in the daily trend, and the daily short-cycle average is basically flat at present, which tends to continue to maintain a partial volatile trend in the short-term trend. Most of this adjustment is based on interval operation, rather than turning unilateral bearish.
The short-period moving average on the 4-hour level began to gradually diverge downward, and the short-period moving average on the K line was slowly under pressure and was still weaker in the short-term trend. The strength of the hourly level after a rapid bottoming rally is not too large, and the price center of gravity is beginning to gradually move down. Gold tends to move out of the shock correction trend in Europe and the United States. Today is still staring at the position of 2518-20, broken more continued to rise, in this position to continue to see the fall. In summary, today's gold short-term operation on the idea of Jin Shengfu suggested that the rebound is mainly short, the callback is supplemented by more, the short-term focus on 2518-2520 resistance, the short-term focus on 2490-2493 support
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Gold is likely to make a new all time high again. This usually happens with commodities and stock, more speculations happen right after prices makes a new ath and hence price making a newer ath again. Then a massive sell off.
We haven't broken the recent ath yet but there are higher chances we can break it tomorrow.
Here is where to get in, I think price will like visit the imbalances it created in price action right before it broke the previous ath for another boost to the upside. That is where I get in the market.
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Are you ready for your profit plan? The recent market fluctuations are large, if you trade alone, you will face more risks, if you are not completely sure, maybe burn your account, if you want to avoid such risks, contact me, I will help you!Trade active
A bounce from support is forming
Gold is heading towards resistance at 2531 from which a small correction may follow
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The current gold price is around 2530
If the price breaks above 2535, it's a buy signal, with a target price of 2550.
-If the price breaks below the support area of 2403-2402, it's a sell signal, and you'll take a short position (betting on price decrease).
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