#XAUUSD XAUUSD
The rapid rise in gold prices this evening was primarily driven by news events. Newly appointed Fed governor Clarida, expressing gratitude for Trump’s nomination, stated that he would leave the Council of Economic Advisers if Trump asked him to remain at the Fed. Simultaneously, Clarida reiterated his support for a 50 basis point interest rate cut. These comments further stimulated the market, triggering another wave of risk-averse sentiment.
While the losses weren’t due to technical factors, I don’t deny that I did incur losses; facts are facts, and I never try to hide them, even if they’re not my fault.
This latest news-driven surge in gold is purely based on risk-averse sentiment; the price will likely fall again once the market digests the news. In the short term, pay attention to the 61.8% retracement level, around 3676. If gold encounters resistance and pressure at this level, it will likely continue to decline. On Friday, don’t be overly greedy; take profits of $10-30 and exit your position to avoid the risk of holding positions over the weekend.
