Jinchen Prediction for Gold Market on 8/10 Monday (Aug. 10), for reference only.
This week’s Non-Farm Payrolls came out unexpectedly strong, delivering a major bullish boost to gold. As rate-cut expectations heated up, gold prices surged strongly, sparking an all-around burst of bullish sentiment.
On the weekly chart, a huge bullish candle broke out of a long-term consolidation range. The bigger trend has officially turned bullish. However, the 4-hour indicators are severely overbought; after consecutive rallies, there is a strong need for pullback and digestion. It is not advisable to chase long positions at high levels.
The key near-term resistance above the current price is locked in the 4380–4400 zone. This is a phase resistance within the current upswing; a one-shot breakout is difficult. Once price spikes higher, it is easy to see a pullback under pressure.
The core defensive support is 4250. As long as this support is not decisively broken during the pullback, the overall large bullish structure remains intact. If 4250 breaks, the market may enter a round of deep pullback.
Next week’s focus should be on Wednesday’s CPI inflation data, which is the key turning point for the short-term outlook and will directly determine the subsequent trading rhythm of gold.
Trading suggestions:
Go long on the pullback in the 4260–4270 range. Targets: 4350–4370. Set defense/stop at 4250. If 4250 is broken, you may consider following with a short position.
If the rebound meets resistance around 4400, consider setting up a short. Look down for 4300–4250. Defense/stop at 4410
#XAU
This week’s Non-Farm Payrolls came out unexpectedly strong, delivering a major bullish boost to gold. As rate-cut expectations heated up, gold prices surged strongly, sparking an all-around burst of bullish sentiment.
On the weekly chart, a huge bullish candle broke out of a long-term consolidation range. The bigger trend has officially turned bullish. However, the 4-hour indicators are severely overbought; after consecutive rallies, there is a strong need for pullback and digestion. It is not advisable to chase long positions at high levels.
The key near-term resistance above the current price is locked in the 4380–4400 zone. This is a phase resistance within the current upswing; a one-shot breakout is difficult. Once price spikes higher, it is easy to see a pullback under pressure.
The core defensive support is 4250. As long as this support is not decisively broken during the pullback, the overall large bullish structure remains intact. If 4250 breaks, the market may enter a round of deep pullback.
Next week’s focus should be on Wednesday’s CPI inflation data, which is the key turning point for the short-term outlook and will directly determine the subsequent trading rhythm of gold.
Trading suggestions:
Go long on the pullback in the 4260–4270 range. Targets: 4350–4370. Set defense/stop at 4250. If 4250 is broken, you may consider following with a short position.
If the rebound meets resistance around 4400, consider setting up a short. Look down for 4300–4250. Defense/stop at 4410
#XAU