Gold: Power move down 1637

Fundamental analysis:

On Wednesday (October 19), the Federal Reserve's policy prospects are still radical. Fed officials said that if the core inflation is strong, the interest rate cannot stop at 4.5%or 4.75%. According to the CME Fed observation tools, it is expected that the November meeting will raise interest rates of 75 basis points in November. The probability of more than 90%, and the December meeting continued to raise interest rates of 75 basis points more than 70%. With the support of monetary policy prospects, the US dollar index rose 1%to the 113 mark, and the 10 -year US bond yield climbed to 4.138%. For the first time in fourteen years, the spot gold fell below $ 1630/ounce under heavy pressure. Fall 1.41%.

Spot gold xauusd 4 -hour chart

Technical analysis:

Looking at the 1 -hour chart, the price of gold continued to weaken after falling below 1642. MACD showed a continuous volume under the zero axis, showing that there was a need for further expansion of the decline in the market. At present , The target below is 1615-1620.

Resistance level: 1637.00 1650.00

Support bit: 1615.00 1600.00

Trading strategy: Watch the fall under 1637.00, target 1615.00 1600.00

Alternative strategy: Bullies above 1637.00, target 1650.00 1670.00