On Thursday, gold prices experienced a dramatic rollercoaster ride after a brief surge. In early Asian trading, prices briefly rose to around 5100, with bulls showing strong momentum. The European session was relatively calm, remaining within a range.
During the US session, gold prices plummeted due to stronger-than-expected US employment data, falling sharply by $240 to a low of around $4,878 before finding support and closing near the low. The day's volatility was extreme and caught the market off guard.
As we mentioned on Thursday, a calm market often conceals a larger trend, and a breakout from the trading range could lead to a sudden shift in market direction.
Currently, the trend remains in a corrective rebound pattern, with upward movement proving difficult. The 5000 level forms a strong resistance zone, while 4880 provides short-term support. A break below this level would likely lead to even lower lows.
For short-term trading, it is recommended to short at the 5000 level, with a profit target of around 4950-4920. The strategy remains unchanged until the release of the US January CPI data; please pay attention to the trading hours.
During the US session, gold prices plummeted due to stronger-than-expected US employment data, falling sharply by $240 to a low of around $4,878 before finding support and closing near the low. The day's volatility was extreme and caught the market off guard.
As we mentioned on Thursday, a calm market often conceals a larger trend, and a breakout from the trading range could lead to a sudden shift in market direction.
Currently, the trend remains in a corrective rebound pattern, with upward movement proving difficult. The 5000 level forms a strong resistance zone, while 4880 provides short-term support. A break below this level would likely lead to even lower lows.
For short-term trading, it is recommended to short at the 5000 level, with a profit target of around 4950-4920. The strategy remains unchanged until the release of the US January CPI data; please pay attention to the trading hours.
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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.
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.