Big Yellow's Outlook for Next Week: Gold Bulls Break Through Strongly, Key Decision to Come Next Week
This week, spot gold has shown a deep V reversal trend. At the beginning of the week, it was suppressed by market sentiment and dipped to around 4099, but then the bulls launched a counterattack, surging strongly towards the end of the week, with a daily increase of over a hundred points. The price returned above 4490, recovering most of the previous decline, and market bullish sentiment has significantly warmed up.
News
The three major U.S. stock indices plummeted more than 1.6% in a single day, causing panic sentiment in the market to rise sharply. A large amount of funds flowed into gold as a safe-haven asset, directly driving gold prices to surge violently. The poor stock market performance and weak economic data have led the market to bet again that the Federal Reserve will start the interest rate cut cycle earlier. The weakening dollar has opened up space for gold to rise. The potential risks of regional conflicts and trade frictions further strengthen gold's safe-haven attributes, becoming the long-term logic supporting gold prices.
Technical Analysis
The price has broken through the short-term downward channel and stabilized above the middle track of the Bollinger Bands. The bullish trend is initially established, with strong support forming at the 4400 integer level. The KDJ indicator has crossed upwards and is diverging, indicating strong bullish momentum. The Bollinger Bands are opening upwards, and the price is gradually approaching the upper track of the Bollinger Bands, showing strong upward intent. The upper resistance level is concentrated in the 4550-4600 range, while the lower support level is seen in the 4400-4380 range. If 4400 can be held, the bulls are expected to continue the upward momentum.
Operation Strategy
If it stabilizes near 4400-4380, positions can be added in batches for long orders, targeting 4500-4550.
If it effectively breaks below the critical support of 4380, the trend will weaken, and adjustments should be made promptly to follow the market with short orders. #黄金