Hello traders.
I did a post on gold that kept the guess work out and how to trade it based off the understanding that the pair is within a range and the only realistic way to trade it is not to try to guess the direction but to simple buy or sell any breakout back into the range as a range acts like a magnet why? Ranges are balanced markets. Markets desire balance. So this is the best way to trade markets in these states until a direction is giving.
Now I know everyone see the channel that formed with higher low is highs and I must say disregard analysis this pair in this way or any pair. Why.? Cuz the over all structure is a range the market is expected to return to it when price leaves it. Thus just cus we see a wave from the low coming back into the range. We must a I say must remember that now that wave analysis is done. The market reached its objective and that is to be balance! Don’t assume that the market will continue based off of that channel alone!!
Now. So let’s get that out the way and let’s focus on what gold is telling us!,,
So firstly we must understand this yellow candle here the spinning top and what do it mean
The candle means that the market enjoys being balanced. Thus the wicks on both sides are the length of this balance so let’s mark this up. ( orange)
And let’s see how price behaves around them to get a insight on the decision if one is made .
Now note price went to the low first after the candle and this is expected because it’s a red candle overall. Mines is yellow based of an volume indicator.
But notices that price didn’t reach the low of the wick before we see a tweezer open and close candle( opposite candles with same price)
Now this means much but let’s continue
So price slowly works it way back to the upper wick now notices price goes into a mini range( black box)
And then price goes up
Next notices how we also had a pullback into this range and into the yellow candle that made a lower wick !
See This. The market rejected the range and the low
Now we can expect a test to the upper wick .
Here we be watching to see how price behave there, yet based off what we just went into it’s hard not to see the direction.
HOW TO TRADE LIKE THEM-
I did a post on gold that kept the guess work out and how to trade it based off the understanding that the pair is within a range and the only realistic way to trade it is not to try to guess the direction but to simple buy or sell any breakout back into the range as a range acts like a magnet why? Ranges are balanced markets. Markets desire balance. So this is the best way to trade markets in these states until a direction is giving.
Now I know everyone see the channel that formed with higher low is highs and I must say disregard analysis this pair in this way or any pair. Why.? Cuz the over all structure is a range the market is expected to return to it when price leaves it. Thus just cus we see a wave from the low coming back into the range. We must a I say must remember that now that wave analysis is done. The market reached its objective and that is to be balance! Don’t assume that the market will continue based off of that channel alone!!
Now. So let’s get that out the way and let’s focus on what gold is telling us!,,
So firstly we must understand this yellow candle here the spinning top and what do it mean
The candle means that the market enjoys being balanced. Thus the wicks on both sides are the length of this balance so let’s mark this up. ( orange)
And let’s see how price behaves around them to get a insight on the decision if one is made .
Now note price went to the low first after the candle and this is expected because it’s a red candle overall. Mines is yellow based of an volume indicator.
But notices that price didn’t reach the low of the wick before we see a tweezer open and close candle( opposite candles with same price)
Now this means much but let’s continue
So price slowly works it way back to the upper wick now notices price goes into a mini range( black box)
And then price goes up
Next notices how we also had a pullback into this range and into the yellow candle that made a lower wick !
See This. The market rejected the range and the low
Now we can expect a test to the upper wick .
Here we be watching to see how price behave there, yet based off what we just went into it’s hard not to see the direction.
HOW TO TRADE LIKE THEM-
