Analysis on the trend of Gold Market
Spot gold rose slightly in Asia on Thursday, trading around 1716. Gold tumbled 1.56 per cent to $1711.19 an ounce on Wednesday, its lowest level in nearly nine months, as rising US bond yields and a stronger dollar undermined gold's attractiveness. In addition, the Senate vote on the stimulus bill may be pushed to the weekend, which could be a further drag on gold prices. But Fed officials' comments on yield control could boost gold prices, with the market paying particular attention to Federal Reserve Chairman Colin Powell's speech on Thursday, when he will further explore the current state and prospects of the US economy. in particular, it will give a positive response to the current situation in which US bond yields continue to rise for the first time.
However, given that the ADP employment data show a poor recovery in the employment sector, Powell is likely to continue to play down the impact of rising inflation. However, the current state of employment is still subject to Friday's non-farm report. Short-term gold prices may continue to be weak, a sharp rebound may not be large, and the future may be below 1700. During the day, we will focus on the number of weekly jobless claims. In addition, the data of February Challenger layoffs, January factory orders and January durable goods orders are all worth paying attention to.
Technical analysis: gold fell unilaterally yesterday, falling as low as 1701, and then the market quickly pulled up, but it did not break through the 1726 pressure position I stressed, and finally fell back again, and the current gold decline remains the same. today we continue to maintain the idea of shorting under the pressure position of 1724. Gold is still an obvious decline, although temporarily in the 1700 mark position to get support, but the decline has not changed, is still a downward trend, today we still maintain the same high-altitude thinking. Yesterday, shorting at 1715 position, two profits, today relying on yesterday's US market accelerated decline of 1726 position, as well as the US market rebounded high 1724 area as a pressure position to continue to enter the short market.
Gold will continue to maintain the downward trend today, 1700 will eventually be broken, the next support area is around 1680! There is no longer road than feet, no higher mountains than people, there is no smooth road on the road of trading, underestimation is the turning point of the dawn, the peak is the peak of the crisis, only by always maintaining an ordinary heart, can we get out of the dark trough and walk into the turning point. Today, the current gold weak concussion falls, the operation suggestion continues to maintain the high altitude train of thought to remain unchanged, above pays attention to 1724 pressure, below pays attention to 1700 support
Analysis of crude Oil Market trend
News analysis: us crude oil rose slightly at the beginning of Asian trading on Thursday and is now trading around $61.34 a barrel, up about 0.1 per cent. Oil prices rose nearly 3 per cent on Wednesday as gasoline inventories fell sharply and market expectations for OPEC+ to extend production cuts rose by nearly 3 per cent. The market will be watching the specific outcome of the OPEC+ meeting, in addition, the market will also be watching the progress of the US stimulus package. Us gasoline inventories fell the most since 1990 last week as a cold wave hit refinery production. Us government data showed that US gasoline inventories fell the most since 1990 last week. most refineries along the Gulf of Mexico are unable to produce because of extremely cold weather. Gasoline inventories fell 13.6 million barrels to 243 million barrels last week, and many refineries are still struggling to resume production. The cold wave comes as the oil refining industry prepares for the prospect of a pick-up in demand in the spring and summer.
Technical analysis; because the market is worried about the upcoming OPEC+ ministerial meeting. In the face of rising oil prices, the market expects OPEC+ to relax the scale of production cuts, and Saudi Arabia may announce the end of voluntary production cuts in April, which will bring more supply to the oil market. In the short term, oil prices fell below the 20-day moving average, and market concerns could lead to continued pressure on oil prices before the OPEC+ meeting. In the medium to long term, the upward trend in oil prices remains good, but the previous sharp rise in oil prices has accumulated too much profit, which also leads to the risk of a bigger correction in oil prices in the near future.
It is expected that oil prices will be favored by bulls again after a short-term correction. Investors are advised to continue to go short against high. On the upside, we initially pay attention to the 10-day moving average resistance of 61.3, and further pay attention to the pressure of several major integer gates. On the downside, the initial support focused on the high of 58.91 on February 10, and further focused on the support near the middle rail 58.47 in the Bolin belt. Generally speaking, it is recommended to lower the pullback mainly, supplemented by rebound shorting, focusing on 61.9-62.4 resistance at the top and 58.5-59 first-line support at the bottom.