Monday saw a collective "dive" in precious metals. Gold, silver, platinum, and palladium all plummeted simultaneously, triggered by exchanges adjusting margin requirements. Major players took advantage of this to harvest from follow-up traders and leveraged funds. Many investors suffered significant losses in this round, and this volatility once again reminds everyone: trading without risk control is like playing with fire; the profits earned are ultimately just keeping the market makers' coffers full.

After the decline, there was a rebound. Gold rallied from the $4,300 level, reaching a high of $4,404, but then weakened, leaving a nearly $60 long upper shadow at the close; silver's performance was even more "fierce." Starting from $70, it quickly recovered half of the previous day's decline, approaching $78, ultimately leaving an almost $2 upper shadow on the daily chart.

From external factors, the escalation of the Yemen situation and rising geopolitical risk aversion provided a strong boost to precious metals; meanwhile, the Federal Reserve's meeting minutes showed divided opinions, with some officials beginning to acknowledge the possibility of rate cuts. This policy uncertainty created speculative space for gold price movements.

However, this rebound more resembles a short covering rally rather than a trend reversal signal. From a technical perspective, the downtrend initiated from $4,550 has not changed, and $4,300 is unlikely to be the bottom of this correction. The key moving forward is whether $4,400 can be effectively broken: if this level cannot be surpassed, the correction will continue; once it stabilizes above $4,400, $4,300 can become a strong support, and gold prices may gradually digest the panic caused by the sharp decline through time.

Trading is like this: your gains in the first half of the year can vanish in a single day. Without risk control as a backup, all good market conditions are just dressing up for others.