StoneX analyst Fawad Razaqzada: The prospects for gold have become bleak due to improved risk sentiment and the possibility of a stronger dollar. Friday's stronger-than-expected U.S. jobs report encouraged the market to bet on the dollar to strengthen, further suppressing the safe-haven appeal of gold. There is a possibility of a short-term correction in gold prices. However, he added that technical trading indicators are still bullish and there is still potential for a re-raise.
Yesterday, gold opened low and closed low, and a baritone line came. Do you think you were going to end? result! The last trading rebounded suddenly, giving you a shadow line! Do you understand this? The support of the 20-day line is as hard as a city wall, and it is still standing there! This month, gold has gone horizontally and has no clear direction at all. Now it is obvious that someone is taking over the market secretly and not letting it fall!
What about today? Continue to adjust the small negative line and step back on the 20-day line, but look at it, it didn't hit a new low at all! What does this mean? This means that the person who wants to sell is still there, but the strength to smash the market is obviously not enough, and it is getting weaker and weaker!
You can taste it carefully! After the sharp rise on May 21, did gold fluctuate for two consecutive weeks? It rose sharply after June 3, followed by continuous adjustments? twice! twice! twice! Say important things three times! All of them have hit new rebounds during this period! This trend is like copy-paste! Last time I said that this was done on purpose by the main force. This time I bet that the same routine is still the same! In addition, gold is basically a life of lying down from May to June every year. It is simply normal to have such a harsh trend!
The key now depends on fundamentals: the central bank has increased its holdings of gold for seven consecutive months. What does this mean? seven! indivual! moon! The rush to buy signal! There is also the Federal Reserve, which cuts interest rates this year. Although I don’t know when it will come, the more likely it will be! This is equivalent to giving gold a double insurance! Good luck! Great good news!
Although I don’t know when the new rise will start, the short-term oscillation cycle has not ended yet. Don’t guess the direction. If you guess it’s luck, if you guess it’s the tuition fee! But the potential for long-term strengthening is definitely great, and it is too big! So, in this situation, every time you call back to the low level, the lower shadow line rebounds, just like a big guy winking with you, that is a great lurking point! Don’t be scared away by the shock in front of you, the good show may be behind!
——After reading it, the funds make a lot of money! ——
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