Gold: Buy around 3624, target 3660-3674Gold Market Analysis:
Yesterday, we placed a sell order at 3655, then sold all our profits at 3646 in the US market. Yesterday's market saw a surge followed by a decline. The market fluctuations we predicted in yesterday's blog post were all correct. Gold is currently fluctuating at a high level in the short term. In this market, there are opportunities for buying and selling if you capitalize on the market's rhythm. Today, I predict gold will continue to fluctuate and correct before the CPI data is released. Capitalizing on this rhythm, both buying and selling are possible. Today, we are focusing on 3620. If this level breaks, we will consider a short position. Otherwise, we are looking for high-level fluctuations. The long-term trend is still a buy. We made it clear yesterday that long-term trends require time and space to develop. Yesterday's small positive close on the daily chart confirms our analysis. The 5-day moving average is beginning to rise. The volatility will not last long, and results will be seen soon. During the Asian session, we're focusing on the strong support band of 3620-3625. This level is also a buying opportunity for a rebound. Resistance is at 3657, yesterday's rebound high. We anticipate the market to fluctuate within this range. A break above 3657 will open up further upside, and a pullback could be considered a buying opportunity. Volatility occurs when a surge reaches resistance, and further gains are more likely after the volatility ends.
Support is 3620-3625, with strong support at 3600. Resistance is at 3647 and 3657, with 3647 being the dividing line between strength and weakness.
Fundamental Analysis:
The most important CPI data this week will be released today. The recent surge in gold prices is driven by increased market expectations for a September rate cut by the Federal Reserve. This CPI may be the final reference data the Fed uses.
Trading Recommendation:
Gold: Buy around 3624, target 3660-3674
