95% of traders overlook this gold chart pattern (and it’s a mistake!)
We’re heading into Fed Day tomorrow, and the market’s already on edge.
Gold is holding firm at new highs,
Traders clearly want that safe-haven exposure going into the announcement. When gold refuses to back off in front of a big event, it’s a sign people want protection no matter what the Fed says.
Meanwhile, stocks pulled back a bit today.
The trigger was a stronger-than-expected retail sales number. On the surface, strong sales sound good. But the market is worried it gives the Fed a reason to pause after tomorrow’s expected cut.
That’s the tightrope we’re walking:
- Stronger data = less urgency for the Fed to keep cutting.
- Softer data = more room for cuts.
Either way, traders are bracing for Powell’s tone tomorrow.
Finally, crude joined the move, climbing higher.
The thinking is simple: if consumers are spending, that points to stronger demand for gas and oil. It’s another case of markets reading the tea leaves — not just the number, but what it means down the road.
So here’s the quick take:
- Gold’s steady at highs into Fed Day.
- Stocks faded on stronger retail sales.
- Crude rallied on hopes of demand staying firm.
Tomorrow’s Fed decision is the main event. I’ll be watching closely to see not just what they do, but what Powell says about what comes next.
Stay sharp,
— Geof
