Gold within Daily chart Rectangle, #1,800.80 still preserved

Gold's general outlook: No changes so far on the Daily perspective as Friday’s E.U. opening didn’t delivered any significant move towards any Buying or Selling pressure point/confirmation. The Price-action remains Neutral above the Hourly 4 chart Support of #1,770.80, and below the #1,800.80 - #1,805.80 Resistance zone. It is Natural that Price-action found Sellers as RSI hit the #2-Month Resistance, and with the absence of macro-economic catalysts, strong Volatility is expected, and don’t be surprised if you see thin Volume throughout today’s session. As the market is waiting for a catalyst, I see no alternative under such a Neutral setting but to maintain my breakout strategy and monitoring closely Bond Yields chart, to carefully issue my next move. Nothing more to add to today's session ranged movements as the Hourly 1 chart also couldn't be more Neutral. As Fed decision is within #2 sessions, for me, this configuration is still a “no strong pattern” area. If however #1,770.80 breaks, Price-action will be calling for Higher Low extension of #1,737,80. Otherwise, Volatility will be on the main stage. If Gold doesn’t recover #1,800.80 psychological barrier within #3 sessions range and breaks it, I will pursue #1,727.80 with my Selling orders.


Fundamental analysis: The Price-action has again entered the first Resistance area after E.U. opening throughout Friday's session (following strong Resistance break), was Trading above it, almost testing the #1,800.80 psychological barrier, but Yields miraculously recovered the Lower Low extension, reversing Gold again towards Neutral zone. Candlestick formation is pointing me to a new Bear breakout (Bearish Engulfing) as Gold (Xau-Usd on my focus as always) turned Overbought throughout in the process, but I am not willing to take any more risks on today’s session as Bond Yields became too Volatile to make assumptions on, clearing the losses which Yields have been under within just #2-minute time. Technically since Gold isn't near the first Resistance zone, I can't consider current configuration as an Buying opportunity towards the #1,810.80 zone (consisting of the #1,800.80 - #1,805.80 respectively). However it all really depends on how Bond Yields will Trade coming to the current Week, and Fed decision event on Wednesday. The #U.S. 10Y is at its lowest since September #5 #2019 and coupled with constant Low's on DX, Investors are relocating capital from Gold to riskier assets, where Gold should be below #1,760.80 already, but now above the Support due to Hourly trend changes and Volatility on Bond Yields. I will keep operating with strict Risk management (#5 - #10$ Stop-losses) until the trend appears.


Technical analysis: Gold is extending the sideways action, following the continuation of the former Hourly 4 chart Ascending Channel, as Bond Yields and DX losing for the #3rd straight session (DX taking strong hits), current environment is Gold friendly (should spike upwards) but on my surprise, Gold was losing with every candle against the fair Technical trend which made me remain off the markets on late U.S. session, as current configuration was irrational to a great extent. See how Gold's strong Selling level of the #1,777.80 - #1,773.80 zone was far from fair symmetrical manner with disastrous side Swings on Bond Yields as the strongest correlation so far, but currently both assets are on decline, fractal that last happened on September #2012 Year, messenger of strong unprecedented Volatility. Gold should be Bullish on Short-term as Gold is known as relief asset (should soar as relief) with Inflation rising and Money supply chart’s maxing the ATH, DX loosing with every candle, but Gold is on aggressive side Swings which made me remain without any positions, not gambling on the ranging markets. On the Short-term, the Hourly 4 chart is critically Overbought, and Natural response should be #1,760.80 extension which I am sceptic about since Gold is Trading against all Technical rules, printing exactly the same movements as Yields does. Below #1,770.80 is also where the first Hourly 4 chart Support is (note that Gold haven't touched the Hourly 4 strong Support for #8 sessions). Despite still having a full week of data ahead and the catalyst of the week - Fed interest rate which can reveal a major move. As the Hourly 1 chart’s Ascending Channel broken downwards, Gold already tested the Lower High levels (due to miraculous #2-minute recovery on Yields) and a closing below #1,770.80 could set the final motion for the Support Zone test (around #1,760.80) which is a strong Buying accumulation region, if Price-action gets rejected on mentioned variance. Again, the decline came earlier than I expected (nearly middle of U.S. session opening) and I was contemplating Buying order as Yields were testing Lower Low extension (Yields reversed #10 point impulse on Gold to an #9 point decline, all within an Hour). The main reason for Friday's strong consolidation and side Swings is the risk-off sentiment on the Bond Yields along with the rebound on DX. DX is irrelevant at this point. With U.S. reports in general posting the first rise since February, risk appetite is improving and that applies aswell mixed pressure on Safe-havens like Gold, despite the U.S. economy on an steeper downfall. I will not engage Short-term positions anymore, only Medium-term ones: Buying if #1,792.80 breaks (Targeting #1,817.80), and Selling if #1,770.80 breaks (Targeting #1,740.80). Expect side Swings as long as Gold is correlated with Bond Yields (traditional Q2 fractal). Technically, Gold leans more to the Selling side.