On Monday, we observed that the gold market fell sharply above $ 100 an ounce (about $ 128 per ounce) from 1957.43 to 1850.38 and the daily closing price at Price 1870.81 Due to the immediate release of the COVID 19 vaccine.

It is important for gold market investors to focus on the price of gold, whether it could break the 1850 low, the second price bar.

1. Analysis based on basic information

1.1 Achievements for humanity in the search for vaccines from two major pharmaceutical companies, Pfizer and BioNTech. The two companies tested the vaccine on up to 43,500 people in six countries without any problems. Pfizer and BioNTech have announced that the new vaccine is more than 90% effective, and the two companies plan to ask the government to approve the vaccine before the end of November 2020.

1.2 The US Federal Reserve has released its mid-2020 financial stability report, stating that if the effects of the COVID19 pneumonia epidemic on the US economy worsen and deteriorate in the coming months, As well as real estate prices will continue to fall, it can be dangerous and cause serious crisis to other sectors directly and indirectly. However, the good news about the success of these two pharmaceutical companies in finding vaccines is the confidence that the government as well as investors are optimistic about preventing the spread of the crisis and reaching out. Completely.

1.3 Europe and the United States try to "restore" trade relations "after the Trump era." On Monday, November 9, EU trade ministers will hold a meeting to plan for the start of trade relations. European reunification with the United States in the "post-Trump era."

The European Union (EU) will start imposing an additional $ 4 billion in tariffs on the United States, European Commission Vice President Donbrowskis confirmed on Tuesday that the US import tariff will take effect on Tuesday. European tariffs on the United States will focus only on agriculture, and Europe will seek to negotiate with the new US government to prevent large-scale trade disputes with the United States.

2. Analysis based on technical fundamentals

If we look at the fundamental analysis, we see that the shape of gold earlier this week is the Bearish Kicker Signal, one of the 12 major shapes of the Candlestick Signals.


However, the overall gold price trend has not changed into a downtrend yet. We have to wait for the intersection of the three SMA lines to form a DeathCross Signal, and the price of gold falling below this pattern can confirm that the gold trend is a bearish trend.

3. Important data to follow this week

- Wednesday the 11th

12:00 pm to 5:00 am FOMC Member Speeches (The Federal Open Market Committee)

Thursday the 12th
2:00 pm Announcement of UK GDP data

11:45 pm Remarks by the President of the European Central Bank, Mrs. Lagarde

11:45 pm Remarks by US Federal Reserve Governor Powell

Friday the 12th
8:30 pm PPI Data Release Producer Price Index

Analyzed by Mr. Chea Prasidh, Chief Financial Officer, Golden FX Link Capital