Analysis of gold news: In the U.S. market on Tuesday (October 16), U.S. retail sales increased more than expected in September, but the price of gold rose as tensions in the Middle East boosted safe-haven demand for gold. Federal Reserve Chairman Jerome Powell’s speech later this week will further clarify the path of interest rates. The latest data released showed that U.S. retail sales recorded a monthly rate of 0.7% in September, more than double Wall Street’s 0.3% growth forecast. Sales excluding autos and natural gas rose 0.6%, above the 0.1% growth forecast compiled by Bloomberg. Meanwhile, August sales were revised up to a 0.8% increase from the previously reported 0.6% increase. After the data was released, spot gold fell to around 1920 before rebounding to an intraday high of 1931.57. It is now trading at $1,928.17 per ounce, up 0.41%.
Today’s gold strategy: It is recommended to focus on low and long callbacks, supplemented by rebounds from high altitudes. Focus on the first-line resistance of 1955 at the top and the first-line support of 1928 at the bottom.
Analysis of crude oil news: In the US market on Monday (October 16), crude oil prices were trading around US$86.81 per barrel. Crude oil prices reversed course after rising sharply the previous week, closing below $90/barrel amid signs that global oil supplies may improve. In addition, some bulls took profits after U.S. crude oil hit its 21-day moving average. Crude oil prices have moved higher after last week’s sharp swings on expectations that the conflict could cause supply disruptions in the world’s largest oil-producing region. But this was partly offset by signs of cooling demand and rising production in the United States. Both major contracts rose between 6% and 8% last week as markets focused on any signs that the Israeli-Palestinian conflict could spark a wider conflict. Uncertainty and concerns about the escalation of the Palestinian-Israeli conflict continued to support oil markets. In recent days, Iran has warned of the risk of a wider conflict, while reports have emerged that Saudi Arabia has frozen talks to normalize ties with Israel, and the U.S. Energy Information Administration (EIA) said it expected U.S. shale gas production to fall in November. At 451 million cubic feet per day, oil production in the Permian Basin in November will fall to the lowest level since April. Oil production in major U.S. shale basins in November will see the largest decline since December 22 last year. In order to deal with the contradiction between supply and demand, European Central Bank President Christine Lagarde told euro zone finance ministers that the European Central Bank is paying attention to any inflation risks posed by the new round of Palestinian-Israeli conflict through oil price fluctuations.
Today’s crude oil strategy: It is recommended to focus on rebounding from high altitudes, supplemented by low and long corrections. Focus on the first-line resistance of 89.0 at the top and the first-line support of 86.5 at the bottom.
The operation for gold and crude oil trading must be done carefully, the above strategies are recommended only for reference.
