It's interesting to observe the recent performance of gold. It opened at $4603 per ounce, surged to a new high of $4634, then quickly dropped back to $4586, ultimately only falling by 0.37%. Essentially, it's a psychological game—when the US December inflation data came out lower than expected, traders bet that the Federal Reserve would cut interest rates in April, prompting an initial rally in gold; then some took profits at the high, causing a round of sell-off. Fortunately, bottom-fishing and safe-haven funds stepped in to support the market, preventing the decline from accelerating further.

What does this tell us? No matter how strong the US dollar is, it can't suppress the upward momentum of gold. The underlying support factors remain the same: expectations of rate cuts, geopolitical tensions, and ongoing central bank gold purchases—nothing has changed. Moving forward, keep a close eye on US retail sales, PPI, and other data. Even if the data is weak and gold prices adjust, that could be a good entry point; also, speeches from two Federal Reserve officials are likely to lean towards dovishness, which is positive for gold.

From a monthly perspective, gold's rally is very strong. If it can hold its gains this month, reaching $5500-$6000 in 2023 is not impossible. On the weekly chart, the short-term target price is around $4700. On the daily chart, although there was a correction yesterday, it didn't break below key support levels. Every dip is an opportunity to buy the dip.

Recommended trading strategy: consider long positions around $4590 or $4560; reduce positions or try shorting in the $4640-$4675 range. For silver, support levels are at $88.00 and $87.40, with resistance at $89.40 and $90.70.