Faith in the direction of a wave of market judgment is not based on the market itself, but faith in your own judgment, faith in your own experience.
On Wednesday, US President Joe Biden and congressional leaders held a meeting for more than an hour on the issue of the debt ceiling, facing the market shock of default, or not to open the valve of setting the debt ceiling. There is still controversy.
Now, Biden and McCarthy are at loggerheads over the debt ceiling, with negotiations now delayed until Friday, May 12, with McCarthy opposing a stopgap measure to extend the debt ceiling through Sept. 30. The failure of Bank of America some time ago was an example of credit failure. Now the debt ceiling cannot be extended, or there is no ceiling, which would cause panic in the markets.
Meanwhile, the US cpi came in at 4.9% in April, falling for a decade and below expectations of 5%. The cpi is also an important indicator of future interest rate hikes by the Federal Reserve. Now, the likelihood of future rate hikes has lowered some expectations. But that's not the only prerequisite, and the methodology of whether or not there will be a big hike is dynamic, not set in stone, regardless of what Powell has said before.
Gold, on Wednesday intraday hit $2048 / oz, then experienced a deep correction, fluctuating between $2048 and $2022, the average daily demand for gold correction is large, cpi data is the key to affect the interest rate hike expectations, but also a big driving force for gold price volatility, Us initial jobless claims for the week ended May 6 are due today (May 11) at 242,000. The market is expecting 245,000 this time, not much. If they appear above or below, then gold could continue to fall. Data is held in a range until it is released.
Gold strategy: Gold first hits 2024-2020buy losses in 2014, TP 2035-2040, while first hits 2038-2040 sell SL 2051, target 2025-2020.