Today's Doji after Yesterday's Extreme Move Down.

Good Evening Traders!

Well, after yesterday's explosive move down, it's not surprising that Gold             took a pause today. With a total range of 15.3 points, the net down move today was 1.9 points. I did take a new short position early in the morning and I'll get to that later in this post. I'm expecting volatility to come back into the market tomorrow and Friday as there are a couple of big news events. Tomorrow at 4:30 am PST is the ECB Monetary Policy Meeting Accounts. With Brexit on everyone's mind, this will be an interesting event to say the least. This is followed an hour later by the US Initial Jobless Claims report at 5:30 am PST. And then on Friday is our friend, Nonfarm Payrolls, at 5:30 am PST. These events are almost guaranteed to get the markets moving again, perhaps finishing off the downward cycle in Gold             .

Now on to my trade. As I mentioned yesterday, I was waiting for a good pullback in Gold             so I could re-enter and catch another wave to the downside. Using the hourly chart, at 5 am, price came up, penetrated the upper BB and then the next hourly candle failed to take out the high. Also, the Stoch RSI was in overbought territory. While not a picture perfect pullback, with a tight stop, the risk was containable. For my profit target, I am using a weekly chart and the lower BB which is at 1243.50.

Hopefully, we'll end the week with some good movement to the downside.

Safe Trading and Protect Your Profits.

Hourly Chart
Weekly Chart

Trade active: Price has moved down nicely after a positive initial jobless claims report.
Trade active: Potential price target of 1240. Nice confluence with the weekly BB band.

Ideas Scripts Chart
United States
United Kingdom
Home Stock Screener Forex Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators For the WEB Widgets Stock Charting Library Priority Support Feature Request Blog & News FAQ Help & Wiki Twitter
Private Messages Chat Ideas Published Followers Following Priority Support Public Profile Profile Settings Account and Billing Sign Out