Gold Market Analysis:
Last week, gold closed with a positive weekly close, and buying activity has been steadily increasing. Whether it’s indicators or patterns, the weekly chart clearly indicates buying momentum. This week, we maintain our bullish outlook. The hottest topic in the market recently is when will this gold rally end? Where will it end? The weekly chart began fluctuating and consolidating at the end of April, before a new upward trend began at the end of August. Judging by the timing, this buying wave will likely continue until at least November. Furthermore, this upward trend in gold is supported by fundamentals. Although tensions in the Middle East have eased, the US Treasury bond market has reached a new high, and the Federal Reserve is clearly signaling interest rate cuts in September. These factors are increasing market uncertainty, and risk aversion is driving gold prices higher again. We are following the market in our trading. Last week, we executed 12 trades, with only three sell orders anticipating a pullback. The rest were buy orders. This week, the weekly chart remained above 3580, demonstrating continued strength. In the short term, we’re focusing on 3620 as support to place buy orders. Gold rallied after reaching 3626 in the Asian session. The short-term center of gravity is shifting upwards, with the hourly chart showing fluctuations, ranging from 3620 to 3657. However, the overall trend remains bullish, and we’re considering buying opportunities during the Asian session. The 4H chart shows a turning point after a series of minor declines. We anticipate a correction before further upward movement in the European and American sessions. Resistance is at 3657. If it breaks, consider buying again. If it doesn’t break in the US session, it’s unlikely to break and will likely continue to fluctuate.
Support is at 3620 and 3612, while resistance is at 3657 and 3674. The dividing line between strength and weakness is at 3633.
Fundamental Analysis:
Japan is closed today. This week, we’ll focus on the Federal Reserve’s FOMC interest rate decision and economic outlook summary, as well as the crucial speech.
Trading Recommendations:
Gold – Buy around 3634, target 3657-3677
