The current price of gold is short in 1984, and the Fed’s intere
We know that Japan is the only country among developed countries that still implements negative interest rates. In the past two years, the Federal Reserve has continuously raised interest rates, and the Japanese yen exchange rate has continued to depreciate. The USD/JPY has reached a historical high of 151. If it continues to break through, 170 will not be a problem. Due to the depreciation of the exchange rate, Japan's domestic inflation has returned to above 2% for more than a year. It can be said that the goal has been achieved.
If Japan really starts to raise interest rates in the future, it means that global monetary tightening will reach another level and the financing environment will further deteriorate. An economic hard landing or even recession will come. Of course, this is something to talk about later. At least in terms of short-term impact, the high interest rate environment is unfavorable to the securities capital market and the commodity market.
In addition, a series of financial data will be released tonight, including small non-agricultural ADP, job vacancies, and ISM manufacturing PMI, plus the interest rate decision in the early morning, each one more important than the last. A turning point in the market is about to occur in the near future.
Gold experienced a plunge yesterday. What is strange is that the price of gold did not fall directly. Instead, it fluctuated during the day and then suddenly rose to 2007 at night, giving people a feeling that it was about to break through. When everyone thought it would hit a new high At that time, the market took a turn for the worse and fell to 1978 in the middle of the night.
On that day, the monthly line closed yesterday. Generally speaking, the sharp rise in the month will always be adjusted at the end of the month. This is also the confidence of the bulls to continue to look at the 2100 station. After all, October was a yin and yang, with an increase of more than 140 US dollars that month. It is a relatively rare strength.
However, it must be said here that it is undeniable that 2000 did not stand. Yesterday's surge and fall were also very obvious signs of attracting bulls, because this wave of adjustment is different from the previous one in that it directly broke through the previous shock platform and stepped upward. The move has been terminated. It would be very dangerous to be bullish without thinking at this position.
There is no suspense about not raising interest rates today. The key point is to listen to whether Powell is a hawk or a dove. For gold, it is nothing more than a direct fall or a rebound and then fall. We can deal with both.
The Federal Reserve’s interest rate decision was also held in the evening. There is a high probability that the United States will continue to raise interest rates because U.S. Treasury bonds have been sold off again, which affects the strength of the U.S. dollar. Raising interest rates is highly likely, and it is inevitable to be bullish for the U.S. dollar. There is no doubt that the price of gold will be suppressed.
The golden four-hour line is still bearish and engulfed. It has closed four big negative lines in a row and directly completed the engulfment of the big positive line. Currently, there is also an obvious double top pattern near 2008, which is directly suppressed by the mountains. The 50-day moving average continues to maintain a downward trend. There is currently no sign of a U-turn. The lower support level is near 1945. This is also my target level. Are you ready for a plunge?
Operation strategy: short gold 1984, stop loss 1992, target 1962, 1945
Trade active:
Are you ready?
Trade active:
Everyone should be prepared before the data comes. Whether you want to recover losses or make a big profit, you need to plan in advance. Don't do unplanned things. The only outcome is loss.
