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Market News Gold market analysis: if gold cannot break through 1834, it will be difficult to further strengthen
Gold market analysis: if gold cannot break through 1834, it will be difficult to further strengthen
From the perspective of technical graphics, the price of gold failed to continue to rise. It fell at the close yesterday, and today there is also a bearish follow-up trend. The price of gold is currently testing the 200-day moving average and is expected to break through this level. If it closes below the 200-day moving average and $1800, it will trigger more bearish pressure.
2021-09-08
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On Tuesday (September 7), the price of gold hit the biggest drop in more than a month, as the US dollar strengthened after the Labor Day holiday in the United States and the yields of US bonds rose after adjustment for inflation. Spot gold sellers pushed the price below $1,800, and the price of gold is currently near $1,797.
Yesterday, in the trade after Labor Day, the yield of 10-year US Treasury bonds continued to rise, pushing up the dollar. The 10-year U.S. Treasury yield broke through the 200-day moving average on Tuesday and is currently crossing the 1.379% double top since August. The U.S. dollar index rose above 92.50 at midday in the U.S. market, refreshing the intraday high since last Wednesday, September 1, and rose nearly 0.6% during the day, further deviating from the intraday low since August 4, which broke below 92 last Friday. The rise of the dollar promoted the high profit-taking trading of gold. GMT+8 At 22:02 on September 7th, within one minute, COMEX’s most active gold futures contract traded 5273 lots in an instant, with a total transaction value of US$952 million. Spot gold fell 10 US dollars in the short-term, falling below the 1,800 US dollar mark, the first time since August 27, nearly 30 US dollars lower than the intraday high. Subsequently, GMT+8 at 22:04 and 22:15 on September 7th, COMEX's most active gold futures contract instantly traded 3889 and 2227 hands within one minute, with a total value of US$700 million and US$400 million. The spot gold price dropped to around US$1,792 in intraday trading, which was about US$35 lower than the daily high. Now, the focus of investors has shifted to the European Central Bank meeting on Thursday. As the euro zone economy recovers, the European Central Bank may discuss how to withdraw stimulus measures. Commodity analysts at Commerzbank wrote in a report: “The European Central Bank may increase the possibility of reducing bond purchases in its emergency purchase plan in the fourth quarter. He also reminded that although the delta mutant strain has begun This has aroused more and more concerns, and at the same time, it has inevitably lowered the outside world’s expectations of the Fed’s tightening policy. This is the main reason why the US dollar index has continued to weaken in the near future. There is a continuous negative for the US dollar. Because the Fed’s monetary policy tightening, no matter whether it is rapid or slow, will eventually boost the US dollar, unless the tightening cycle has come to an end and is fully valued by the market.
From the perspective of technical graphics, the price of gold failed to continue to rise. It fell at the close yesterday, and today there is also a bearish follow-up trend. The price of gold is currently testing the 200-day moving average and is expected to break through this level. If it closes below the 200-day moving average and $1800, it will trigger more bearish pressure. Especially the current strong support of 1790, once it falls, the 1755 level will be tested below. On the whole, if gold cannot break through the strong resistance of 1834 above, it is difficult to expect gold to strengthen further.
Bank of China Guangdong Branch Wang Gang
Original title: 20210908-U.S. Treasury, U.S. Dollars Strengthen Together
Source: Bank of China official website
Yesterday, in the trade after Labor Day, the yield of 10-year US Treasury bonds continued to rise, pushing up the dollar. The 10-year U.S. Treasury yield broke through the 200-day moving average on Tuesday and is currently crossing the 1.379% double top since August. The U.S. dollar index rose above 92.50 at midday in the U.S. market, refreshing the intraday high since last Wednesday, September 1, and rose nearly 0.6% during the day, further deviating from the intraday low since August 4, which broke below 92 last Friday. The rise of the dollar promoted the high profit-taking trading of gold. GMT+8 At 22:02 on September 7th, within one minute, COMEX’s most active gold futures contract traded 5273 lots in an instant, with a total transaction value of US$952 million. Spot gold fell 10 US dollars in the short-term, falling below the 1,800 US dollar mark, the first time since August 27, nearly 30 US dollars lower than the intraday high. Subsequently, GMT+8 at 22:04 and 22:15 on September 7th, COMEX's most active gold futures contract instantly traded 3889 and 2227 hands within one minute, with a total value of US$700 million and US$400 million. The spot gold price dropped to around US$1,792 in intraday trading, which was about US$35 lower than the daily high. Now, the focus of investors has shifted to the European Central Bank meeting on Thursday. As the euro zone economy recovers, the European Central Bank may discuss how to withdraw stimulus measures. Commodity analysts at Commerzbank wrote in a report: “The European Central Bank may increase the possibility of reducing bond purchases in its emergency purchase plan in the fourth quarter. He also reminded that although the delta mutant strain has begun This has aroused more and more concerns, and at the same time, it has inevitably lowered the outside world’s expectations of the Fed’s tightening policy. This is the main reason why the US dollar index has continued to weaken in the near future. There is a continuous negative for the US dollar. Because the Fed’s monetary policy tightening, no matter whether it is rapid or slow, will eventually boost the US dollar, unless the tightening cycle has come to an end and is fully valued by the market.
From the perspective of technical graphics, the price of gold failed to continue to rise. It fell at the close yesterday, and today there is also a bearish follow-up trend. The price of gold is currently testing the 200-day moving average and is expected to break through this level. If it closes below the 200-day moving average and $1800, it will trigger more bearish pressure. Especially the current strong support of 1790, once it falls, the 1755 level will be tested below. On the whole, if gold cannot break through the strong resistance of 1834 above, it is difficult to expect gold to strengthen further.
Bank of China Guangdong Branch Wang Gang
Original title: 20210908-U.S. Treasury, U.S. Dollars Strengthen Together
Source: Bank of China official website
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