Daily Report 100415 2015-04-10

Main contract of domestic gold AU 1506 continued a downward trend in the night session, breaking through the triangle convergence region in short term. In terms of trend, it is believed the gold will remain dropping. Attention should be paid to 20-day moving average at RMB 240. Short positions could be opened if the gold drops below RMB 240. The bolster effect is found at RMB 237.5 and defensive moves should be prepared according to 30-day moving average at RMB 241. On the whole, the market is still digesting the Fed meeting minutes of March. The meeting minutes are considered to be hawkish. The US dollar index kept increasing, giving pressure to the gold. The overnight gold ETF remains decreasing since March 20. However, the figure rallied 2.98 tons last night, indicating the funds tend to be positive toward the gold. The trend afterwards should be still paid attention to though.


Main contract of domestic silver AG 1506 showed an obvious higher drop than the gold in the night session. It is believed the silver will remain the downward trend, breaking through the bolster of 20-day moving average at RMB 3560. Short positions opened at RMB 3560 could be held, with stop-profit set at RMB 3450 and stop-loss set at RMB 3580.

Stock Index

The stock index fluctuated yesterday and corrected slightly. The trading volume of the whole stock market reached 1.45 trillion, which is a rather huge amount. The business report of 21 securities in March was released yesterday, all of which is much higher than before. Currently, the stock market rises to 4,000. On one hand, the market is believed to go up too fast, which accumulates risks; on the other hand, the stock market is considered only halfway there and the bull market will continue. On the whole, although the stock market reached a high level, it is hardly likely to crush. Therefore, investors are still recommended to buy stocks when the price is low.
                                                                                        Dong LV (Investment Certificate NO. TZ008452)