Gold News and Technical Analysis:
On Thursday,October 10th,gold prices plummeted following a robust U.S.jobs report and a news agency's disclosure of Hezbollah's call for a ceasefire between them and Israel.Signs of a potential de-escalation in the Middle East conflict opened the door for traders to lock in profits.Amid hopes for a ceasefire between Israel and its neighbors,the gold price once fell to a daily low of $2,604 per ounce.The demand for safe-haven assets diminished due to Hezbollah's support for ceasefire efforts,while rising U.S.Treasury yields further suppressed gold prices.The minutes from the Federal Reserve's September meeting revealed that the vast majority of Fed officials supported a substantial rate cut of 50 basis points,but "some" were more inclined to cut by 25 basis points,and "these individuals" could have supported such a decision.The U.S.Bureau of Labor Statistics will release the September Consumer Price Index (CPI) report.Investors will focus on this report for further insights into the U.S.interest rate outlook.The gold daily chart indicates that the price has fallen for the sixth consecutive trading day,increasing the bearish potential.Technical indicators provide a strong bearish inclination,with the gold price currently trading below the bullish 20-day simple moving average (SMA).Meanwhile,the 100-day SMA and 200-day SMA remain significantly below the current gold price level,maintaining an upward trend.
Key trading suggestions: Breakthrough short positions near 2625-2620,and long positions at lower levels of 2600-2605.Focus intraday on the resistance line at 2660-2670 and the support line near 2580-2590.
Crude Oil News and Technical Analysis:
On Thursday,October 10th,in the oil market,investors closely monitored the potential for Israel to take retaliatory action against Iran.If the situation in the Middle East further escalates,oil prices may continue to rise.Recently,oil prices have retreated as Biden attempted to dissuade Israel from attacking Iran's oil facilities.Analysts at J.P.Morgan believe that the U.S.is unlikely to support Israel's attack on Iranian oil facilities in the coming period,but if the situation continues to deteriorate,oil prices may experience significant fluctuations.
Furthermore,if the situation escalates,Iran's proxies may launch attacks on Middle Eastern oil-producing countries such as Saudi Arabia.Although tensions between Saudi Arabia and Iran have eased,the situation remains fragile.
Energy analysts predict that if Israel attacks Iran's key oil ports,international oil prices could surge by 5% instantaneously.Although OPEC+ has sufficient spare production capacity,most of it is located in the Middle East Gulf region,and this capacity could also be affected if the conflict escalates.
Current market suggestions are to take a light short position at 77.5 and a more conservative long position at 72.5.
