Have we hit a peak.
What has happened this week in the Gold market, actually not much, being pretty fucking boring to be honest. I am actually a little surprised by how little movement we have seen, Monday as expected was not busy but Tuesday had numerous releases which could of theoretically created turmoil. So lets give it a go and dissect why nothing is happening in the Gold market.
Monday saw literally nothing happening in the open and close value for Gold, releases were few and far between, the only thing worth watching was the US Federal Budget Balance, and we needed big movement for anything drastic to happen in the market. But, there was no such drastic change, and thus we saw only a $2 change of Gold's value from open to close.
Tuesday's big watch was the US's CPI m/m and Core CPI m/m results, but they were both bang on target. This didn't do much good to the US dollar, cooling of any of the continued growth we have seen in the last week or so. But the sacking of the Secretary of State Rex Tillerson by Trump as a result of the issues with the Iran Nuclear deal allowed Gold to continue to tick upwards. This meant by close gold was back up from the mornings low, closing higher than open at about $1326.
To open Wednesday we had the Chinese Industrial Production y/y result, actual came in significantly above forecast by 1%, at 7.2%. Yet nothing really happened in the Gold market as a result, I thought maybe this would reduce confidence in the US dollar a little which would in practice edge Gold higher, but nar, nothing happened as a result. Later on the US released three pretty big pieces of data, we had their Core Retail Sales m/m, PPI m/m and then their Retail Sales m/m. The main one to watch is the PPI, and because of this the under performing results seen from the other two were countered by an above forecast result of the PPI. This meant there was little consequence on the Gold market, this put together with the speculation surrounding US Protectionism measures meant Gold held around $1325 for much of the day, closing at $1326.
Thursday saw the biggest dip of the week, throughout the day Gold fell around $10. This was mainly as a result of the rebounding Dollar put with the close of the US Federal Reserve Meeting putting volatility in the market. But Thursday didn't have any big releases, we had the US Unemployment Claims, yet the actual was only a 1k below forecast so little movement was witnessed. By close, Gold was at $1315.
Friday saw a period of regain for Gold, gaining steadily throughout the morning, this put with worse than expected Housing Starts helped bring it up to $1320. But much better than expected US Prelim UoM Consumer Sentiment crushed this growth, aided with JOLTS Job Openings the precious metal dropped down $8 to $1312, where it looks to be levelling out!
Another week of a very little movement, maybe Gold has peaked above $1300 and now the will be a long-term fall. I feel this because the Dollar is low as fuck right now and I don't think we can have too many more weeks of this without a period of retreat. Careful out there!
Peace.
The Naive Trader.
Forex Factory, 2018
IG.com, 2018
Investing.com, 2018
Monday saw literally nothing happening in the open and close value for Gold, releases were few and far between, the only thing worth watching was the US Federal Budget Balance, and we needed big movement for anything drastic to happen in the market. But, there was no such drastic change, and thus we saw only a $2 change of Gold's value from open to close.
Tuesday's big watch was the US's CPI m/m and Core CPI m/m results, but they were both bang on target. This didn't do much good to the US dollar, cooling of any of the continued growth we have seen in the last week or so. But the sacking of the Secretary of State Rex Tillerson by Trump as a result of the issues with the Iran Nuclear deal allowed Gold to continue to tick upwards. This meant by close gold was back up from the mornings low, closing higher than open at about $1326.
To open Wednesday we had the Chinese Industrial Production y/y result, actual came in significantly above forecast by 1%, at 7.2%. Yet nothing really happened in the Gold market as a result, I thought maybe this would reduce confidence in the US dollar a little which would in practice edge Gold higher, but nar, nothing happened as a result. Later on the US released three pretty big pieces of data, we had their Core Retail Sales m/m, PPI m/m and then their Retail Sales m/m. The main one to watch is the PPI, and because of this the under performing results seen from the other two were countered by an above forecast result of the PPI. This meant there was little consequence on the Gold market, this put together with the speculation surrounding US Protectionism measures meant Gold held around $1325 for much of the day, closing at $1326.
Thursday saw the biggest dip of the week, throughout the day Gold fell around $10. This was mainly as a result of the rebounding Dollar put with the close of the US Federal Reserve Meeting putting volatility in the market. But Thursday didn't have any big releases, we had the US Unemployment Claims, yet the actual was only a 1k below forecast so little movement was witnessed. By close, Gold was at $1315.
Friday saw a period of regain for Gold, gaining steadily throughout the morning, this put with worse than expected Housing Starts helped bring it up to $1320. But much better than expected US Prelim UoM Consumer Sentiment crushed this growth, aided with JOLTS Job Openings the precious metal dropped down $8 to $1312, where it looks to be levelling out!
Another week of a very little movement, maybe Gold has peaked above $1300 and now the will be a long-term fall. I feel this because the Dollar is low as fuck right now and I don't think we can have too many more weeks of this without a period of retreat. Careful out there!
Peace.
The Naive Trader.
Forex Factory, 2018
IG.com, 2018
Investing.com, 2018
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