Yesterday saw a classic "buy the rumour, sell the news" set up in gold, as the market drifted higher all day and spiked above 1720 on the FOMC announcement, before selling off hard in the evening session and overnight.
Gold is now trading below 1700 and the short term charts look very weak with further selling likely.
However, longer term, quantitative easing is here to stay, at least until employment in the US falls to 6.5% and remains there, which could take many years. This means the jobs reports will take on even greater significance in the future, as traders assess the likelihood of quantitative easing coming to an end.
For our subscribers at www.goldtradingexperts.com, today's video looks at yesterday's action in more detail and our strategy for our next trade.
Gold is now trading below 1700 and the short term charts look very weak with further selling likely.
However, longer term, quantitative easing is here to stay, at least until employment in the US falls to 6.5% and remains there, which could take many years. This means the jobs reports will take on even greater significance in the future, as traders assess the likelihood of quantitative easing coming to an end.
For our subscribers at www.goldtradingexperts.com, today's video looks at yesterday's action in more detail and our strategy for our next trade.