Gold has broken all Resistances / Bullish on Long-term

General overview on Gold: The Channel Up I talked about broke on the previous Hourly 4 candle upwards and as mentioned is Targeting the #1,960.80 Resistance (Xau-Usd numbers on my commentary as always). As long as #1,927.80 holds as an Support, Gold will spike up before the next Bearish leg, but if #1,927.80 breaks, it should be an aggressive decline towards #1,890.80 - #1,900.80 where the Hourly 4 #MA50 is expected to be in #5 session’s time. Since DX is loosing with every candle, it is normal to expect that Gold will soar. Bond notes are taking strong hits aswell, pushing Gold even more upward. The Gold spot has reached the October #8, #2020 High and so far is unable to break Higher. If this is the eventual rejection, then I can have a Sell-off tomorrow back to #1,898.80 at least. The first level of Support though is, as mentioned on my previous post #1,927.80 (symmetrical from November #5), where the Hourly 4 fractal also happens to be. Fundamentally, Gold continues to track the DX movement ignoring the (minor but steady) rise on Stock markets. Statistic is there to support my outlook - last Higher High break attempt,, Gold retraced more than #40 points ($) afterwards, so it could be the case shortly.


Technical analysis: The trend continues to be sideways on Hourly 4 chart as both the #1,941.80 Resistance and #1,927.80 Support hold (remember, what was the Resistance, when broken becomes the Support, and other way around regarding Support/Resistance). At least this gives a fairly Low risk Trade set-up on the Short-term (until either one breaks). It is worth mentioning that the Hourly 4 chart #MA50/#200 lately formed a Golden Cross, but last time's Golden Cross (November #6) was a Top indicator. The Daily chart Higher High extension could be on the cards, keep this in mind as a quick target in case #1,941.80 breaks. Other than that, the DX is turning to the downside again but also keep monitoring the Bond market, whose drop lately was in favor of Gold.


My position: I will wait for a potential pullback on Gold towards #1,898.80 since Gold is in strong Overbought waters (it is dangerous to Buy at the moment), and if Support breaks, I will not hesitate to Sell Short-term. On the other hand, if #1,941.80 Resistance breaks, I will Buy towards #1,960.80.