Overnight Market Review (2022.11.01) Hedge funds will continue to sell gold as prices rebound and maintain an overall bearish outlook for gold until the Fed gives a clearer stance on the pace of its tightening cycle.
According to the latest trading data from the U.S. Commodity Futures Trading Commission (CFTC), hedge funds currently have little expectation that the Federal Reserve is prepared to slow its aggressive monetary policy stance, as bearish sentiment in the gold market has retreated to a four-year low in September.
Fund managers’ total speculative long positions in Comex gold futures fell by 1,328 contracts to 72,016, according to the CFTC’s Disaggregated Traders report for the week ended Oct. 25. Meanwhile, short positions rose by 11,762 contracts to 110,804.
Trading strategy deployment: it is recommended to do more at low levels
All transactions involve risks, the above analysis is for reference only. When placing an order, be sure to set the lot size and remember to set the stop loss.