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Market News Gold market analysis: strong retail data in October, gold profit-taking
Gold market analysis: strong retail data in October, gold profit-taking
Gold, which has been rising for several consecutive days recently, has seen a high profit adjustment in the overnight market.
2021-11-17
9380
On Tuesday, spot gold fell below the $1,850 per ounce mark, hitting a minimum of $1,848, and the intraday decline expanded to 0.6%, which was a drop of $26 from the daily high.
GMT+8 On Tuesday (November 16th) at 21:30 in the evening, the monthly rate of retail sales in the United States, known as "horror data", recorded 1.7%, a new high since March this year, far higher than the expected 1.2%. The previous value was revised up from 0.70% to 0.8%. The agency commented that retail sales in the United States recorded an increase for the third consecutive month in October, as rising prices boosted the income of merchants and household demand remained strong. The broad increase in consumer spending shows that rising savings and rising wages have helped Americans maintain a strong pace of commodity spending. Although total retail sales are much higher than before the epidemic, the recent collapse of consumer confidence caused by inflation may lead to a slowdown in future demand. The October retail sales report is one of the earliest published data that can measure US GDP in the fourth quarter. Barclays chief US economist Michael Gapen once said that the strong performance of retail sales will be an important signal that the economy is back on track. Gapen predicts that the U.S. economy will grow at 5% in the fourth quarter following an unexpectedly slow economic growth rate of 2% in the third quarter. The data stimulated U.S. Treasury yields to rise, and at the same time continued to raise the temperature of the Federal Reserve's interest rate hike expectations. For this reason, gold, which has been rising for several consecutive days recently, has seen a high profit adjustment in the overnight market.
From a technical point of view, from the weekly Candlestick chart, the support below the gold price is solid. In recent weeks, the bulls have been able to stop the decline since August and are expected to continue to welcome a wave of rebound in the market. Yesterday, gold first recovered to around 1840, and then continued to oscillate and rebound. The high point was measured at the 1866 line. Although there was a wave of recovery in the evening, it only retreated to around 1848, and finally closed at 1850 upstairs, a bullish trend. No signs of damage have been seen yet. Below we focus on the support near the daily 5-day moving average of 1850. If it does not break below, it will still remain high and fluctuate. If you are short, you can't break the position above 1868. Even if you go to 1866, it will quickly come down. This is in line with the pattern of short adjustment. The 1850 key support break below basically depends on the 1845-35 area.
Bank of China Guangdong Branch Wang Gang
Original title: Strong retail sales data in October 20111117, gold profit-taking
Source: Bank of China official website
GMT+8 On Tuesday (November 16th) at 21:30 in the evening, the monthly rate of retail sales in the United States, known as "horror data", recorded 1.7%, a new high since March this year, far higher than the expected 1.2%. The previous value was revised up from 0.70% to 0.8%. The agency commented that retail sales in the United States recorded an increase for the third consecutive month in October, as rising prices boosted the income of merchants and household demand remained strong. The broad increase in consumer spending shows that rising savings and rising wages have helped Americans maintain a strong pace of commodity spending. Although total retail sales are much higher than before the epidemic, the recent collapse of consumer confidence caused by inflation may lead to a slowdown in future demand. The October retail sales report is one of the earliest published data that can measure US GDP in the fourth quarter. Barclays chief US economist Michael Gapen once said that the strong performance of retail sales will be an important signal that the economy is back on track. Gapen predicts that the U.S. economy will grow at 5% in the fourth quarter following an unexpectedly slow economic growth rate of 2% in the third quarter. The data stimulated U.S. Treasury yields to rise, and at the same time continued to raise the temperature of the Federal Reserve's interest rate hike expectations. For this reason, gold, which has been rising for several consecutive days recently, has seen a high profit adjustment in the overnight market.
From a technical point of view, from the weekly Candlestick chart, the support below the gold price is solid. In recent weeks, the bulls have been able to stop the decline since August and are expected to continue to welcome a wave of rebound in the market. Yesterday, gold first recovered to around 1840, and then continued to oscillate and rebound. The high point was measured at the 1866 line. Although there was a wave of recovery in the evening, it only retreated to around 1848, and finally closed at 1850 upstairs, a bullish trend. No signs of damage have been seen yet. Below we focus on the support near the daily 5-day moving average of 1850. If it does not break below, it will still remain high and fluctuate. If you are short, you can't break the position above 1868. Even if you go to 1866, it will quickly come down. This is in line with the pattern of short adjustment. The 1850 key support break below basically depends on the 1845-35 area.
Bank of China Guangdong Branch Wang Gang
Original title: Strong retail sales data in October 20111117, gold profit-taking
Source: Bank of China official website
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