Gold trading strategy on September 24: Gold prices face correction after the sharp drop, activists can still short rallies

Spot gold rose slightly on Friday (September 24). There is a correction in the short-term gold price, but the overall short position is still strong. It is recommended that conservatives can wait and see for the time being, and activists continue to short rallies.


Daily level: The price of gold fell below the 23.6% retracement level of 1743 on Thursday, but rebounded from the low on Friday. Although the bears still take the initiative, the bulls have not completely lost confidence.

From a technical point of view, there is still a certain degree of support near 1743, and the risk of oversold after the rapid decline in the price of gold also makes the shorts somewhat reserved. Today, we can see that there are certain corrections in Japan, but there are doubts about whether the bears will counterattack in time.

It is recommended that the conservatives wait and see for the time being, and the radicals wait for the opportunity to go short at high positions.

The initial resistance above focuses on the 5-day moving average of 1760.44. If the price of gold is difficult to break through this level, investors can go short on 1760. If it breaks through 1760, pay more attention to the 38.2% retracement level of 1776.88 and the September 22 high of 1787.36.

The initial support below focuses on yesterday's low of 1738.12, and further attention to the low of 1744.17 on August 11 and the low of 1717.83 on August 10.

(Spot gold daily chart)

Resistance levels: 1760.44; 1776.88; 1787.36
Support levels: 1738.12; 1724.17; 1717.83

Short-term operating suggestions: conservatives wait and see, radicals choose opportunities to short rallies.

GMT+8 13:53, spot gold was quoted at $1754.33 per ounce.