Zhao Xingyan: The Fed has become the pivotal factor for gold’s bullish/bearish outlook; watch the strong resistance at $4,085 in early trading.

Gold staged a strong rebound from the psychological $4,000 level, ultimately rising approximately 1% to close at $4,060 per ounce—having earlier dipped to a low of $3,989. This move was primarily driven by a notable decline in crude oil prices. Softer oil prices eased market concerns over inflation and prompted some investors to reassess the Federal Reserve’s future hawkish stance, thereby providing gold with temporary support. Review of yesterday’s gold trading strategy: Our initial strategy yesterday targeted short positions around $4,035, anticipating a downward move. However, price reversed sharply upward, disrupting our plan and resulting in an early exit. Later in the evening session, price continued climbing and broke above a key level. At that point, Xingyan recommended extending short positions near $4,060—but given gold’s resilience, shorts may now be closed or partially reduced near the current price of $4,046. Outlook for today’s gold movement: Technically, Tuesday’s rally reflected short-term corrective dynamics and sentiment-driven uplift from falling oil prices—not yet a confirmed trend reversal. In the near term, whether gold can sustain above the $4,000 level and extend gains further hinges critically on the tone of the Fed’s upcoming meeting and Thursday’s PCE data release.

Jindu Caishen: Gold market analysis and trading recommendations for October 18.

[Market News] On Tuesday (October 27), international gold prices rebounded amid volatility, with spot gold rising roughly 1% to close at $4,060.13 per ounce—after dipping as low as $3,989.06—while December futures rose 0.9% to $4,074.60. This movement was chiefly driven by a marked decline in crude oil prices. Weaker oil prices eased inflation concerns and led some investors to reassess the Fed’s likely hawkishness, thus offering gold temporary support. On Wednesday (October 28), during the Asian morning session, spot gold traded sideways within a narrow range, currently hovering near $4,050. [Technical Analysis of Gold Price Movement] 1. In the prior trading session, gold drifted lower during the Asian session, hit a bottom at $3,989.2 during the European session, then surged strongly during the U.S. session, closing at $4,059. The daily chart closed with a large bullish candlestick. On the KDJ indicator sub-chart, the lines turned upward and converged; the MACD indicator shows shrinking green (bearish) momentum bars. Overall, the daily chart suggests a relatively bullish bias, and gold may retest $4,100 in the coming days and near term.

Gold Gains More Than 1% as Softer Oil Prices Ease Inflation Worries

21 hours ago

Gold prices rose over 1% as lower oil costs alleviated inflation concerns, while investors awaited US economic data and Federal Reserve signals. Other precious metals like silver and platinum also posted gains during the session.

reuters

Gold Gains More Than 1% as Softer Oil Prices Ease Inflation Worries

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