Monday, September 13, Asian market in the early trading, the spot gold market began to fall and then rose after the opening. Currently, it has risen from 1783.6 to 1792.4, an increase of about 9 US dollars. Currently reported at $1791.7/oz. Looking back at the market situation last Friday, gold went out of a trend of first rising and then falling. During the Asian and European trading hours, the market recorded an intraday high of 1803.7, and then began to fall. During the US trading hours, it fell to around 1787.0 and finally closed at US$1787.9/ounce, a Yin K with a shadow line is received on the daily line.

On the news, the August PPI data released last Friday rose sharply to 8.3%, which was the largest increase since November 2010.

The surge in PPI data means that inflation in the United States has intensified, which has boosted the strength of the U.S. dollar and U.S. debt. In addition, many officials of the Federal Reserve have successively expressed their views on reducing bond purchases. For example, Cleveland Federal Reserve President Mester said, “Although the NonFarm payroll report in August was weak, we still look forward to the start of the bonds reduction plan this year.” In the context of high inflationary pressures, some Fed officials have released the message that they expect to start tempering in advance, so that the market is full of expectations for the next FOMC.

Technically, spot gold runs between the middle band and the lower band of the Bollinger Band on the daily chart, and the KD indicator is low and there are signs of a golden cross. In the 4-hour chart, it is currently under pressure below the middle band of the Bollinger Bands, and the KD indicator is glued.

Although there was a surge in the gold market last Friday, it was still under pressure at 1800/1803. Therefore, 1800/1803 can still be regarded as an important resistance position today. In addition, in the context of the strong US dollar and US debt, short orders can be placed accordingly.

Resistance position：1794/1802/1807

Support position：1783/1776/1770

Investment Advice:

Sell between 1796-1798, set risk management at 1804, and look at 1788/1784/1780 for the target.

Analyzed by：Mr. Chris Lau，Independence Analyst