12.17 Gold Morning Review Non-Farm Payroll Fluctuations, Bullish Outlook
One Minute Overview of Today's Gold Trends
1. The adjusted non-farm employment number in the U.S. for November recorded 64,000, exceeding market expectations; the non-farm employment number for October saw a month-on-month decline of 105,000, significantly surpassing the expected 25,000; the unemployment rate in November rose to 4.6%, reaching a four-year high.
2. ADP employment data shows that, as of the four weeks ending November 29, the private sector added an average of 16,250 jobs per week.
3. U.S. Treasury Secretary Mnuchin stated: Both Waller and Hassett have the capability to lead the Federal Reserve, with the chair selection expected to be announced in early January.
4. White House National Economic Council Director Hassett signaled a potential interest rate cut: Positive improvements at the supply chain level provide ample room for rate cut operations.
Market Review and Strategy
With the non-farm data out, international gold prices—bounced back after hitting a low of 4271. Yesterday, after falling to a low of 4271, the gold price rebounded to 4335 due to favorable data, closing with a doji star pattern. Overall, it still hasn't escaped the high-level fluctuation range.
The positive data has not propelled gold prices to break through, and the technical aspect has returned to a fluctuating pattern. Many friends are struggling with high selling and low buying, or even anxiously trying to catch the peak at high levels; this mindset is indeed erroneous. The fact that gold prices are consolidating at a high level without dropping is a manifestation of strength; being bearish at this time is certainly unwise.
Short-term fluctuations may continue, but the high-level momentum could break upwards at any time. Strategy suggestion: Stick to a bullish mindset on gold and silver trades, aiming for new highs. Suggest to buy on dips at 4250-4270, targeting 4335. If the critical support at 4250-4270 is lost, the fluctuating pattern will qualitatively change.
