Monday marked a day of volatile trading as both gold and silver recorded fluctuations, initially rising and then fallingGold reached a peak at 2648 before retreating, while silver hit a high of 30.3 before experiencing a downward trendInterestingly, the main players in the market did not drive prices upward; rather, there was significant potential for sharp declines, with gold dipping to 2615 and silver to 29.5. This allowed for notable downward spaces in both metalsGiven the current developments, it appears that both gold and silver will likely witness further fluctuations leading into the coming non-farm payroll data, as traders wait to see the direction the main players will choose.

On this trading day, attention will be directed toward the U.S

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trade balance for November and the Eurozone’s CPI data for DecemberStakeholders should also monitor the ISM Non-Manufacturing PMI for December and the JOLTs job openings data from NovemberAdditionally, the speech by Richmond Fed President Barkin and developments related to geopolitical tensions are crucial to watchOn Wednesday, investors will see the release of the ADP employment report and the minutes of the Federal Reserve's most recent policy meeting, which might cause shifts in market expectations.

The U.Sdollar faced significant drops to 107.5 but was unable to disrupt the prevailing bullish trendAfter a minor rebound, it settled near 108.2, maintaining its bullish stance and indicating potential continued upward momentumConversely, gold has been stuck in a downturn, reflecting uncertainty

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The dramatic drop on Monday adds to the volatility, reflecting that the price movement for both gold and silver may not have lasting continuity—meaning it’s possible for gold to either rebound or continue its fallShould it rise, traders will revisit Monday’s high at 2648; conversely, if it declines, the focus should shift to the pivotal support level around 2610. From a technical analysis standpoint, the significant drop on Monday solidified a bearish trend on the daily chart, suggesting that future pullbacks might see the price push down towards previous lows of 2600 or even 2575. On the H4 chart, the market shows indecisiveness, with Bollinger Bands tightening and moving averages failing to diverge, presenting both upward and downward pressures without clear directionHence, traders should be cautious with shorting the gold market, watching resistance at 2645 and support levels at 2625 and 2615.

In contrast, spot silver is showing significantly stronger potential than gold at this point

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The price surged to nearly 30.3 on Monday before stabilizing around 29.5, finally closing around 30 for the dayGiven the current market conditions, silver appears robust, making a decline less likelyTraders are advised to refrain from engaging in silver trading at this moment and maintain a neutral stance, focusing instead on its strength variations and clear signals of cyclical trends.

Meanwhile, crude oil experienced a significant pullback from a high of 75 dollars, following a fall to around 73.2. This adjustment could present a substantial decline potential that has surpassed typical corrective levelsTherefore, observers should monitor the shifts in strength of crude oil closelyAfter a bullish journey past 73 and 75 dollars, a correction seems imperative at this point, which may lend itself to a short-selling setup

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However, it is vital to avoid aggressive short positions as long as the prevailing trend remains unchangedAs per technical analysis, the resistance point sits around 74.2; any pullback to this level could provide an entry opportunity for short positions, targeting lower limits of 71.5 to 70.5.

Turning our attention to futures trading:

Rongtong Gold

Rongtong Gold witnessed a favorable response recentlyLast week, an upward movement near 625 was suggested, with actual highs reaching 626. After initiating a short position around the 625 area and experiencing a drop to 617 on Monday, profitable returns were finally realized

The short position advised around 625 was fully liquidated at 617, yielding an 8-point profitFollowing a rebound later that night, Rongtong Gold closed around 623. Observing the current market dynamics, Rongtong remains in a state of oscillation, potentially moving to 625 or dipping down to 615. Hence, this week offers additional opportunities for trading Rongtong Gold, particularly amidst the numerous planned data releasesTiming key decisions around pivotal points will be essential.

Fuel Oil 2505 Contract

The bullish trend in fuel oil is quite pronouncedThe recent considerations revolve around identifying entry points for buyingThe previous cycle’s defensive point resided at 2950, now adjusted to 3000. With the current upward movement breaking through the initial target of 3200, subsequent price objectives will look toward 3400. As long as the bullish sentiment remains intact, existing long positions can be upheld—otherwise, new opportunities should await a pullback.

Soda Ash 2505 Contract

Soda Ash has displayed minimal volatility recently, experiencing a surge followed by a downturn, thereby continuing its weak oscillatory performance