1.27 Noon: The hundred-point plunge in gold is just a shakeout! A precise pullback level is a signal to go long directly.

On Monday, gold experienced an extreme rollercoaster, breaking through 5000 to hit a new all-time high, reaching 5110 before a sharp decline in the US session. It retreated to the 5000 support level and finally closed around 5070, a typical shakeout pattern—no need to panic!

The bullish trend remains unchanged, with no signs of reversal! The safe-haven sentiment is fully heightened, with the Middle East situation continuing to escalate. The US military presence is overwhelming, and the tense stance towards Iran is at its peak. Any subsequent news will likely push gold and silver higher; even if the Middle East stabilizes temporarily, geopolitical tensions between Europe, America, and Asia-Pacific, along with US internal conflicts, remain key risk factors. Global funds are firmly positioning in gold, with strong support for the bulls.

Technically, there are no signs of a trend reversal. The monthly and weekly K-lines are in an upward trend, with no signals of ending. This is a multi-year major upward trend in gold. The short-term hundred-point drop is merely a shakeout and cannot reverse the overall bullish pattern!

Trading Suggestions

Gold: Buy directly at 5030-5035, with a stop at 5020. Targets are 5100 and 5120.

Silver: Buy in batches at 106-106.5, with a stop at 105. Targets are 112 and 114.