This week's contemplation on gold witnessed a continuation of its strong bullish trend, which was bolstered by last week's ADP and NFP data—every day marked new historic highs. The market opened this week with a drop followed by a surge, reaching a fresh historic peak at $2354, directly challenging the upper bound of the short-term uptrend channel.
Reflecting on last week's chart movements, a notable price bracket between $2291 and $2260 has emerged as a decisive range. Both Wednesday and Friday presented price actions that dipped before climbing higher.
Currently, gold is experiencing significant weekly trends with daily fluctuations easily reaching $35. Post-NFP, the market is digesting the data, with Tuesday and Wednesday poised for higher volatility.
The upcoming CPI data will play a crucial role in determining whether the market can maintain its upward trajectory.
From a data perspective, gold has moved $292.29 in just 96 trading days of 2024—a substantial fluctuation when compared to the past five years.
Trading Thoughts: Following the trend, I would consider long positions from dips, eschewing pullback buys due to their reduced referential value in wide-ranging volatility. Key levels to watch for entries include $2277, $2255, $2222, and $2134.
Regarding the larger cycle's weekly channel and bullish chart patterns,
potential market reference points range between $2463 and $2414, with an eye on the trend line near $2475. However, these are merely future reference points. For those contemplating short positions, it would be prudent to wait for a reversal behavior, a break below the trend line, or the formation of lower highs before entering short trades, as calculating a reasonable stop-loss position for shorts is challenging at present.
Bilgiler ve yayınlar, TradingView tarafından sağlanan veya onaylanan finansal, yatırım, işlem veya diğer türden tavsiye veya tavsiyeler anlamına gelmez ve teşkil etmez. Kullanım Şartları'nda daha fazlasını okuyun.