Easing Geo-Political Tension.
We are drawing to an end of a quieter week in regards to actual market data releases, yet much of the focus was on constantly reoccurring US verse North Korea Nuclear pickle. So depending on how this continued to play out, it would in my opinion take hold of market direction for this week as we saw with the constant fluctations in last weeks forex and commodities markets.
Monday was quiet, we saw little movement for the Gold market throughout the day, helped mainly by the retreating dollar falling below 104 against the yen! This allowed Gold to continue its rally, reaching $1353 by Monday's close.
Tuesday had one big release worth following, we had the US CB Consumer Confidence Confidence, this came in substantially under forecast at 127.7. This dip should of caused quite some extra push in the Golds rally but as a result of the potential Chinese and US Trade negotiates actually taking place it completely dominated any release throughout the day. The positive news for world peace lead to a retreat in the precious metal, falling fairly quickly, losing about $10 from the open level.
Wednesday saw a continued dip for the Spot Gold market, falling around $20 throughout the days trading. I did expect to see a big dip in the value but this level of decline I was indeed surprised about. This is because outside of releases the fall in Geo-political turbulence resulted in a double whammy effect on certain commodities, with Gold taking the biggest hit. The main release on Wednesday was the US's Final GDP q/q, with actual coming in 0.2% above forecast at 2.9%. This is very positive for the greenback and helped aid its retreat while putting further pressure on Gold, furthermore the US's Pending Home Sales came in a whole 1% above forecast. So, you can see the effect these two alone would have on the market, but the reduction in the political turbulance as stated above further applied pressure to the yellow metal, causing it to decline continuely before closing at $1326.
Thursday, finishing the week, we had a slower day, Gold witnessed less movement than Wednesday. We had a few smaller releases, from such countries as Canada and the UK. Yet neither result was too extravagant and we only saw a small shift from open to close in the Gold market. Gold closed the day only $1 below open, at $1326.
The week has been interesting as always, directional movement was as expected, even more dramatic for Wednesday than I first thought! Anyway, have a great Easter and I am looking forward to seeing what the markets are saying next week!
Peace.
The Naive Trader.
Forex Factory, 2018.
IG.com, 2018
Investing.com, 2018.
Monday was quiet, we saw little movement for the Gold market throughout the day, helped mainly by the retreating dollar falling below 104 against the yen! This allowed Gold to continue its rally, reaching $1353 by Monday's close.
Tuesday had one big release worth following, we had the US CB Consumer Confidence Confidence, this came in substantially under forecast at 127.7. This dip should of caused quite some extra push in the Golds rally but as a result of the potential Chinese and US Trade negotiates actually taking place it completely dominated any release throughout the day. The positive news for world peace lead to a retreat in the precious metal, falling fairly quickly, losing about $10 from the open level.
Wednesday saw a continued dip for the Spot Gold market, falling around $20 throughout the days trading. I did expect to see a big dip in the value but this level of decline I was indeed surprised about. This is because outside of releases the fall in Geo-political turbulence resulted in a double whammy effect on certain commodities, with Gold taking the biggest hit. The main release on Wednesday was the US's Final GDP q/q, with actual coming in 0.2% above forecast at 2.9%. This is very positive for the greenback and helped aid its retreat while putting further pressure on Gold, furthermore the US's Pending Home Sales came in a whole 1% above forecast. So, you can see the effect these two alone would have on the market, but the reduction in the political turbulance as stated above further applied pressure to the yellow metal, causing it to decline continuely before closing at $1326.
Thursday, finishing the week, we had a slower day, Gold witnessed less movement than Wednesday. We had a few smaller releases, from such countries as Canada and the UK. Yet neither result was too extravagant and we only saw a small shift from open to close in the Gold market. Gold closed the day only $1 below open, at $1326.
The week has been interesting as always, directional movement was as expected, even more dramatic for Wednesday than I first thought! Anyway, have a great Easter and I am looking forward to seeing what the markets are saying next week!
Peace.
The Naive Trader.
Forex Factory, 2018.
IG.com, 2018
Investing.com, 2018.
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