Lesson no 1 : Always put Stop Loss in your open position .
And ... I learn the lesson 1 after losing all my 1 month hardworks in 30 minutes in FOREX. Seeing my account become almost zero in this morning was actually didnt make me sad but smiling to this silly mistake that i have told myself over and over again about rules that i must follow while trading gold. I still cant believe how the gold can wildly went down almost 4,000 pips in 1 hour. It happen when i was sleeping and i guess it really a great January lesson to me.
15 minutes chart for XAUUSD from Trading views.
Technically , Gold has a parabolic run , gaining more than 30% in January , most trader traders and institutional fund use the end of the month to close the account for profit . The market itself has show the exhausted bullish for indicator like RSI
While the Fed reserve meeting this week left interest rates unchanged . While the market was hoping for rates cut . The fed upgraded its economic outlook , stating the economy is expanding at a "solid pace" (source from Mr. G)
This might causes why the DXY also bullish during the gold sold off .
Another chart from tradingview .
Another rumors that cause the drops (Source from MR. G)
- The China Scandal -
Ten shousand of investor rushed to withdraw fund to lock in profit in JWR Group (Shui Bei Jie Wo Rui) a Shenzhen-based gold trading platform without proper licenses or capital reserves required for precious metals brokers , where affecting roughly 22,000 retails investor .
Market impact : The panic forced a massive liquidation of gold , spilled into the global spot market.
As gold has making huge dump , the market will slowly making correction and of course the fundamental will continue affecting the gold direction especially US index lead by US geopolitical issues.
CLOSING
As my account start from zero again , i have learn the biggest lesson in early 2026 . Hopefully February will be a better month in 2026 after 2027 . Thanks for stopping by , see you again .