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Market News Gold market analysis: bullish gold trend may continue
Gold market analysis: bullish gold trend may continue
If the price of gold can stay above the $1780 level and start to move upwards and record a higher high, then the bullish trend may continue
2021-09-10
7745
On Thursday Tuesday (September 9), the price of gold rose, ending the three consecutive trading days of decline. The US dollar took a break, but a series of data released by major economies limited the rise of gold prices. In the US market, spot gold prices rose 0.2% and traded at $1,793. It briefly touched a high of $1800.90 earlier in the market, but then quickly dropped by $17 from the high to a daily low of $1,783.75.
The dollar fell slightly yesterday, giving gold a respite. Earlier, the European Central Bank said it would slow down the pace of debt purchases under its emergency plan. The European Central Bank said in a statement: "Based on the joint assessment of financing conditions and inflation prospects, the management committee judged that compared with the previous two quarters, the pace of asset purchases under the emergency anti-epidemic bond purchase plan has moderately slowed down and can be maintained. Favorable financing conditions." However, professional analysis agencies believe that the European Central Bank’s slowing down of debt purchases is not reducing debt. Taking into account the current relatively loose financing environment, this is only a technical adjustment decision. As the new policy framework paves the way for a more sustained loose monetary policy in the Eurozone, the European Central Bank’s asset purchase program is expected to continue. In terms of economic data, as of the week of September 4, the seasonally adjusted number of initial jobless claims in the United States fell by 35,000 to 310,000, the lowest level since mid-March 2020. The agency commented that thanks to the progress of vaccinations and the reopening that increased the demand for workers, the number of initial jobless claims in the United States has steadily declined. The number of initial jobless claims in the United States was also close to an 18-month low last week. "This strengthens confidence that it may announce a reduction in debt purchases in December. At the same time, the Federal Reserve reported on Wednesday that it faces another surge in the new crown pneumonia epidemic. , The US economy "slightly slowed down" in August. This overall uncertainty still supports gold prices, but the foundation is fragile and cannot be regarded as a long-term support factor.
The bearish pressure on the price of gold caused it to fall below the 200-day moving average and below $1,800. Currently, the price of gold is testing the $1780 support level. If the price can stay above the $1780 level and start to move upwards and record a higher high, then the bullish trend may continue. On the other hand, the closing price below $1780 is a confirmation of the bearishness, and the target price will be at $1680-1700 by then.
Bank of China Guangdong Branch Wang Gang
Original title: US dollar index weakened, gold's decline temporarily stopped
Source: Bank of China official website
The dollar fell slightly yesterday, giving gold a respite. Earlier, the European Central Bank said it would slow down the pace of debt purchases under its emergency plan. The European Central Bank said in a statement: "Based on the joint assessment of financing conditions and inflation prospects, the management committee judged that compared with the previous two quarters, the pace of asset purchases under the emergency anti-epidemic bond purchase plan has moderately slowed down and can be maintained. Favorable financing conditions." However, professional analysis agencies believe that the European Central Bank’s slowing down of debt purchases is not reducing debt. Taking into account the current relatively loose financing environment, this is only a technical adjustment decision. As the new policy framework paves the way for a more sustained loose monetary policy in the Eurozone, the European Central Bank’s asset purchase program is expected to continue. In terms of economic data, as of the week of September 4, the seasonally adjusted number of initial jobless claims in the United States fell by 35,000 to 310,000, the lowest level since mid-March 2020. The agency commented that thanks to the progress of vaccinations and the reopening that increased the demand for workers, the number of initial jobless claims in the United States has steadily declined. The number of initial jobless claims in the United States was also close to an 18-month low last week. "This strengthens confidence that it may announce a reduction in debt purchases in December. At the same time, the Federal Reserve reported on Wednesday that it faces another surge in the new crown pneumonia epidemic. , The US economy "slightly slowed down" in August. This overall uncertainty still supports gold prices, but the foundation is fragile and cannot be regarded as a long-term support factor.
The bearish pressure on the price of gold caused it to fall below the 200-day moving average and below $1,800. Currently, the price of gold is testing the $1780 support level. If the price can stay above the $1780 level and start to move upwards and record a higher high, then the bullish trend may continue. On the other hand, the closing price below $1780 is a confirmation of the bearishness, and the target price will be at $1680-1700 by then.
Bank of China Guangdong Branch Wang Gang
Original title: US dollar index weakened, gold's decline temporarily stopped
Source: Bank of China official website
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