Bond Yields (# -1.53%) on main stage / Both scenarios possible

Gold's general commentary: Gold was close to the important #1,727.80 Hourly 1 Support test (Xau-Usd numbers on my focus), as Price-action was rejected on #1,727.80 - #1,735.80 configuration, which shows how slow to reveal major move Gold has become (not taking Fundamental Buying pressure into account against fair Technical trend) and didn’t even engaged full scale decline / even though that Bond Yields are still without recovery candles. If there wasn’t Bearish Bond Yields developments, Gold would be significantly Lower. Gold eventually honored the Support break on DX with the weakness on Bond Yields, and printed a medium impulse, seen early on regarding U.S. session, reversing again despite Tuesday’s late session rise, Bond Yields are is Trading near their Weekly Support - reveals an Bullish Short-term sentiment Gold is Trading on. Even though my Medium-term outlook remains Bearish based on fractal analysis of candles, Volume and RSI with the period March - April, I am expecting a Short-term pullback towards the Hourly 4 Support zone first (#1,727.80 - #1,735.80) as the Hourly setting I too Overbought approaching the levels of December #27. I am looking closely at today's U.S. data to monitor DX movements, and would instantly Sell the market on normal market conditions / but as trend has to continue Trading according to Yields developments and is Volatile to a huge extent lately, I won’t make any more risky shots, at least for few hours more until I have Selling confirmation. Yet again, Hourly 4 Triangle broke to the upside, and if #1,768.80 breaks, Gold continue with the impulse.


Technical analysis: Following a somewhat rather monstrous fakeout through the top edge of Hourly 4 Resistance zone at #1,755.80 - #1,760.80 throughout yesterday's U.S. session, added more non-logical moves similar to ones made throughout December and end of November. Gold is only rising due to the constant Low’s on Bond Yields, a Bullish move which was Technically impossible to foresee. Gold pressed for Higher ground, concluding the session just north of Hourly 4 Resistance zone and creating new Bullish wave, which next sessions will confirm / is it sustainable. Gold printed a #MA50 fakeout more than #6 times since November #9. Also what is worth noting, every time Williams% is on such Overbought levels since October #8, strong decline followed on the aftermath. With Sellers likely cleared from the mentioned Hourly 4 chart zone, the path upside still may not be clear for further Buying towards Weekly chart Resistance priced in at #1,778.80, which I cannot confirm that is expected. Also, in terms of where Gold stand on the Daily chart, upside structure is limited in my book, as Bond Yields cannot only smash Support’s / nor Trade only in one direction with grand auction within #2 Week time. Should Hourly 1 Price-action retest the already mentioned Support zone in the shape of a Bearish comeback (entry/stop parameters can be defined according to this pattern), this, along with both Weekly and Daily charts exhibiting room to press Lower, is likely enough to draw in Gold Sellers. A failure to hold at #1,768.80, however, will likely call for a move upwards near the Weekly Resistance (Price-action where I will contemplate Buying), where break of #1,761.80 calls in for an Selling opportunity. Do not forget that Fundamentally, U.S. Treasury is about to Sell #370 Billion in Treasuries in the next three Week’s, where Investors are expecting #4% rise on Bond Yields, where according to my calculations, Gold would be near #1,622.80 if happens.


My position: Gold engaged the Hourly 1 consolidation Rectangle where Technical rules don't apply anymore / Bond Yields are on main stage at the moment, and which side will prevail on Gold (Bearish or Bullish) totally depends on Bond Yields movements. I will Buy Gold if #1,768.80 breaks calling for #1,792.80 Lower High extension, while #1,761.80 calls for a quick spike towards #1,750.80, where I will re-Sell if that pressure point gets invalidated.