As spoken on 12 April, Gold has been on the rising trend after breaking out from the down channel.
This is partially fuelled by the ISM index released last night by US. As a result, USD continue to slide, and has been sliding so for the past week. Not to mention, USDJYP is affected too to a certain extent. That said based on historical reports, May is a month where USD will appreciate in
Also, due to the weakening of USD, stocks were up last night. This should translate to some mini rallies in Asia market today. While that is the theory, Nikkei has fallen 3% at the point of writing.
Nonetheless, need to note China PMI index which is coming out at 0945hrs later
Short term trades: Mermaid Maritime, Sino Grandness, CNMC gold.
my 2 cents.
TUESDAY, 12 APRIL 2016
Morning,
I was looking at Gold charts and realized that it has broken out of the channel.
At the same time, Obama and Yellen are meeting to discuss about the state of the labor market, inequality and potential risks to the economy, both in the U.S. and globally. Given that more volatility coming up in the market due to rate hikes and US elections, my take is that gold may continue to appreciate.
Alternatively, CPF money can be invested into GLD too. Please ensure that you have your CPFIS account ready before doing executing the trade
SPDR Gold Shares (under SGX trading name "GLD 10US$").
Click on the link for details.
https://research.uobkayhian.com/content_download.jsp?id=33791&h=db8878e70972845cfb00cebc25b2edae
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