Gold prices experienced large declines

Opening price 1698.52 Yesterday closing price 1699.26 Lowest price 1695.10 Highest price 1705.23

Gold prices experienced large declines

The bottoming out of the economy is expected to cause gold to fall more than $40 on Wednesday, falling below the $1690 mark. TD Securities believes that before gold goes further higher, it does not rule out that there is still room to fall from $20 to $30. At the same time, because of the recent cooling of risk aversion, gold, which is also a safe-haven asset, fell with the US dollar. Therefore, although the US dollar continued to weaken, it failed to provide support for the price of gold. However, considering that the global epidemic prevention situation is still grim, and massive easing has made inflation and debt risks rise, it still supports gold in the long run. Within the day, we will pay attention to the European Bank’s resolution and the US unemployment benefits data.

Technical Analysis: Gold

Gold experienced a large decline yesterday, and the price fell from 1725 to the lowest low of 1688.34, falling below the integer of 1700. It opened at 1698.52 in early trading today and is currently at 1703.14.

Since the market opened today, the market as a whole has shown a trend of upward movement with a narrow range. The upward momentum is under pressure and no obvious trend has been formed. It is necessary to wait for the dynamics of the European and American markets in the evening to grasp whether there is a trend, and currently trade in accordance with the volatile market rules.

The price is in the center of the Bollinger Middle Rail Line, and the market is in a long and short stretch. For example, if you cross the Middle Rail Line at night, you can lighten up.

MACD’s DIF is currently below the short-seller’s zero axis. In the evening, bulls can continue to observe whether the DIF crosses the zero axis to determine the timeline for buying.

Day trade strategy: The initial shock market, if there is an upward signal after 8 o’clock in the evening, you can do more.

Resistance: 1735 1740 1755
Support: 1720 1710 1700

Important information of the day:

20; 30 United States as of May 30 at the beginning of the week for unemployment benefits (ten thousand)

Z.com Bullion Analyst: Tony Liu