Another decline on the cards / #1,735.80 possibility

Gold's general overview: Gold was close to the important #1,895.80 Hourly 1 Resistance test (Xau-Usd numbers on my focus), as Price-action was rejected on #1,784.80 - #1,788.80 configuration, which shows how slow to recover Gold has become (not taking Fundamental Buying pressure into account fueled by Stimulus expectations) and didn’t even engaged full scale recovery / even though that Bond notes lost the gained ground. If there wasn’t Bearish Bond notes developments, Gold would be significantly lower. Stock markets reversing again despite Thursday’s late session dip, DX is Trading near it’s Weekly Resistance - reveals an Bearish sentiment Gold is Trading on. Even though my Medium-term outlook remains Bullish based on fractal analysis of candles, Volume and RSI with the period April #14 - #28 - I am expecting a Short-term pullback towards the Hourly 4 Support zone first (#1,765.80 - #1,768.80) as the Hourly setting was too Oversold 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 within Bollinger bands, I won’t make any more moves, at least for few hours more until I have Selling confirmation.


Technical analysis: No surprises on yesterday's U.S. session opening as Price-action didn’t delivered any significant move (classic consolidation) and despite the decline on Bond notes and DX on red Daily candle, Gold has managed to defend the Support throughout the session and enter the #1,770’s Hourly 4 Neutral zone. This is the Bearish extension of the Lower Low sequence within the Daily chart Rectangle. The Hourly 4 chart is approaching Lowest RSI levels for the first time in #10 sessions, which indicates that #15 point recovery could be ahead. In my opinion #1,795.80 is the Highest extension and decent Selling opportunity awaits on that fractal. I am expecting new Selling accumulation towards #1,762.80 still assured that Gold has to respect Technical course and normalize Overbought levels and later on continue with the sharp decline. No strategy shift so far as Weekly chart is still Selling on most Moving averages. As long as Gold is below #1,795.80, there are more possibilities for a decline. If January #20 - #27 is yet to be repeated, Gold should test the Resistance, and give one more Lower Low extension towards #1,762.80 or less.


My position: I am currently without a position, waiting for an Selling confirmation. Since I am more than satisfied with my Yearly Profits, I won't be rushing to engage. There are two possibilities on a horizon: #1) Gold testing the #1,795.80 Resistance and engage second Selling leg if Resistance rejects the Price-action (January #20 - #27 variance); #2) Gold breaking the Support zone of #1,765.80 - #1,768.80 and engaging #1,735.80 Lower Low extension in motion which I won't hesitate to use, as I will be ready with my Selling order to pursue mentioned Low.