Gold looking vulnerable as #1,800.80 could be next
Gold's overview: Gold is currently being rejected just above the Lower High trendline of the broken Daily chart Channel Up that started with the January #6 Higher Low. Within that Channel, the Price-action (Xau-Usd on my analysis) always tested the #1,820.80 Support after a Higher Low rejection, so assuming no further Stimulus news break-out (and DX doesn't make an Selling correction), I don't see why this Hourly 4 break won't get repeated and result as #1,800.80 psychological barrier test. Hourly 4 Support is already broken, last #4 times similar scenario occurred, Gold dipped more than #31$ afterwards. #1,800.80 - #1,805.80 would be a fair estimate.
Technical analysis: Gold (Xau-Usd as always on my commentary) is Trading within a Channel Down on Daily chart with the latest Weekly Low at #1,831.80 (representing vicinity only few points from strong Support aswell) as the Higher Low Upper zone is priced at #1,857.80 extension. If Higher Low gets broken to the upside, my pattern is invalidated. In my opinion, I should keep focusing on the Hourly 4 chart #1,831.80 strong Support level and enormous Selling pressure (from DX and Usd-Jpy meltdown) which aims Lower Targets below the Hourly 4 Support (such as #1,800.80 psychological barrier) which is the key level and final Bearish variance. So as long as the Higher Low Upper zone and Hourly 4 Support are intact, there is solid chance for a re-test of #1,820.80 (even a Bottom of Lower Low zone at #1,808.80, if the Channel Down holds). However, as long as those points are intact, Price-action fluctuation (which is evident on the charts) will continue Trading to be visible and Trading will continue in the Neutral zone. If #1,857.80 Resistance breaks, Gold will most likely resume the Medium-term Bull trend towards #1,874.80. I doubt this week’s news are enough to push through, most likely the market (and DX which is the key for Gold's recent struggles) is waiting for a catalyst. Statistically, every time from September #2 / when RSI get’s rejected near the Resistance (what is the case at the moment), Price-action starts the aggressive decline of #40$ points within #2 sessions. I am not yet interested in Buying, as there is only #1 strong Support between current Price-action and #1,800.80 psychological barrier. If #1,831.80 breaks, #1,827.80 is preserving the meltdown, in case of break, #1,800.80 should be next. Buying Gold on such (Selling) Technical and Fundamental setting is highly dangerous.
My position: I am comfortably on sidelines, without need to rush onto new positions since I am more than satisfied with my Monthly Profits. If #1,831.80 breaks however, I will engage #1,800.80 Selling order, while on the other hand / I will not be interested in Buying Gold at least for #4 more sessions.
Technical analysis: Gold (Xau-Usd as always on my commentary) is Trading within a Channel Down on Daily chart with the latest Weekly Low at #1,831.80 (representing vicinity only few points from strong Support aswell) as the Higher Low Upper zone is priced at #1,857.80 extension. If Higher Low gets broken to the upside, my pattern is invalidated. In my opinion, I should keep focusing on the Hourly 4 chart #1,831.80 strong Support level and enormous Selling pressure (from DX and Usd-Jpy meltdown) which aims Lower Targets below the Hourly 4 Support (such as #1,800.80 psychological barrier) which is the key level and final Bearish variance. So as long as the Higher Low Upper zone and Hourly 4 Support are intact, there is solid chance for a re-test of #1,820.80 (even a Bottom of Lower Low zone at #1,808.80, if the Channel Down holds). However, as long as those points are intact, Price-action fluctuation (which is evident on the charts) will continue Trading to be visible and Trading will continue in the Neutral zone. If #1,857.80 Resistance breaks, Gold will most likely resume the Medium-term Bull trend towards #1,874.80. I doubt this week’s news are enough to push through, most likely the market (and DX which is the key for Gold's recent struggles) is waiting for a catalyst. Statistically, every time from September #2 / when RSI get’s rejected near the Resistance (what is the case at the moment), Price-action starts the aggressive decline of #40$ points within #2 sessions. I am not yet interested in Buying, as there is only #1 strong Support between current Price-action and #1,800.80 psychological barrier. If #1,831.80 breaks, #1,827.80 is preserving the meltdown, in case of break, #1,800.80 should be next. Buying Gold on such (Selling) Technical and Fundamental setting is highly dangerous.
My position: I am comfortably on sidelines, without need to rush onto new positions since I am more than satisfied with my Monthly Profits. If #1,831.80 breaks however, I will engage #1,800.80 Selling order, while on the other hand / I will not be interested in Buying Gold at least for #4 more sessions.
- My official and only Telegram Channel: t.me/goldenBear88
- Few other un-official channels are not mine, they are copies using my real information (impersonating me and my work / identity) so keep that in mind and beware of those.
- Few other un-official channels are not mine, they are copies using my real information (impersonating me and my work / identity) so keep that in mind and beware of those.
