The situation between the United States and Venezuela escalated suddenly, with the Maduro couple being arrested! The global financial market instantly sounded the alarm—gold, crude oil, and silver's short-term trends are about to face a storm!
Every geopolitical explosion is an opportunity for capital to secretly layout. If you only watch the news and chase highs and lows, you may have already fallen into the trap set by the main force. Today, I will use two real historical cases to help you penetrate the fog and see the capital chess game behind sudden events!
Case 1: The 'preparatory surge' before the 'negative oil price' event.
In the autumn of 2019, oil prices were quietly fluctuating between $50 and $60. Who would have thought that a sudden weekend incident of 'Middle East oil field attack' would cause prices to jump directly to $67 on Monday! Many latecomers rushed in, only for the market to quickly retreat.
Following the second similar event, oil prices surged again above 60+ before falling back. After two waves of 'news-driven market' boosts, oil prices began a long decline, during which there was even a 'flash crash' scenario on a Friday closing at 40, jumping directly to 28 on Monday. Ultimately, in 2020, oil prices fell to the shocking 'negative oil price'!
Do you understand? The main force often uses sudden events to drive prices up to lure in buyers, masking the real subsequent crash. The more sudden the news, the more frenzied the emotions, the more likely it is a trap!
Case 2: The Russia-Ukraine war's classic 'buy expectations, sell facts' scenario.
Before the outbreak of war, gold had already quietly started to rise. When the artillery fire truly began, gold prices surged, and many people rushed in. Just when the conflict was at its most intense and gold prices soared to 2047 USD, the market suddenly reversed 180 degrees, plummeting to around 1600! This is a typical case of 'expectations fulfilled, facts lead to a turning point.' The main force quietly sold off while everyone was bullish, leaving latecomers holding the bag.
So please note:
The capital market never fights unprepared battles; significant market movements often have early signs.
The main force is best at using market greed and fear: selling during emotional frenzy and buying at the bottom in despair.
Breaking news is a touchstone and a mirror—calm observation is more important than blindly following.
If you are currently watching the cryptocurrency market trends, remember:
Don't be led by headlines; see the big trend before acting.
A gap up does not necessarily indicate a breakout; it could be a trap for luring buyers.
During the most intense geopolitical conflicts, one should be wary of market reversals.
History always rhymes similarly. How will this event affect the market? Perhaps the answer has long been hidden in past scripts.
Let the bullets fly for a while, calmly respond to every storm!
