Gold roller coaster

Gold roller coaster

The highest price of gold yesterday was $1933/oz, and the lowest price was $1915/oz.

Gold roller coaster
Gold

Recently, due to geopolitical factors, the bulls of gold have begun to exert their strength, and the hawkish Fed officials proposed to raise interest rates by 50 basis points in May, and the remarks of the plan to shrink the balance sheet as soon as possible hindered the rise of gold. In the minutes of the Fed meeting yesterday, many Fed officials said that one or more rate hikes of 50 basis points may be required, and if it were not for the Ukraine conflict, many Fed members may ask for a rate hike of 50 basis points in March. The remarks kept U.S. Treasury yields higher and the U.S. dollar index soared. The price of gold also began to fall into a volatile trend after the minutes of the meeting.

The editor believes that the current situation is operated with the idea of ​​​​mainly high-altitude.

Gold roller coaster
Gold roller coaster

As can be seen from the daily chart, gold fell to form a roller coaster after rising overnight. The short-term highest hit 1944 and then quickly fell back to the 1918 line. In the weak form of the Asian and European market, this action of gold is likely to be a wave of washes for the bears. At present, the price of gold is oscillating at the middle and lower rails of the Bollinger Band, and the MACD below is also showing a downward trend. Pressure above gold is at the 1940 line, while support below is near the recent low of 1915. At present, for the market, there is no big dividing point between long and short, and it can only be operated at a suitable point.

Gold
Gold

From the perspective of the four-hour level, gold is oscillating at the middle and lower rails of the Bollinger Bands, the shape of the Bollinger Bands is gradually narrowing, and the MACD fast and slow lines below form a dead cross and start to stick below the 0-axis. In the short term, there is no direction guidance. But we have to focus on the point below 1915. If it falls below this point in the future, then the price of gold will switch down the range, and the four-hour Bollinger Band pattern will also open downward. At present, from the perspective of the structure of the hourly chart, the high point is constantly decreasing, and the possibility of weakening again is increasing, but it is difficult for this kind of shock-type market to fall sharply, so gold will still be dominated by shocks.

The editor recommends shorting at 1932, with a stop loss of five points and a target of 1915.

Yields continued to rise on Wednesday, with the 10-year yield at TMUBMUSD10Y, 2.579%, hitting a high above 2.65%. The U.S. dollar has also risen, which could also be detrimental to commodities denominated in the unit, as it makes it more expensive for users of other currencies.

Bullion escaped with very minor damage given the bond storm, with buyers defending the $1,915 area like a fortress. So far the Fed repricing hasn’t done any serious damage to gold, although the real test will be the Ukraine ceasefire And it comes after the cooling of safe-haven demand,” Marios Hadjikyriacos, senior investment analyst at XM, said in a note.

Other metals ended lower on Comex, with May silver SIK22, +0.01% SI00, +0.01% down 0.3% to $24.458 an ounce and May copper HGK22, -0.62% down 1.2% to $4.738 a pound. July platinum PLN22, -0.13%, fell 2.1% to $953.10 an ounce and June palladium PAM22, +2.17%, settled at $2,184.70 an ounce, down 2.3%.

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