instead of calling Gold analysis, I would use the term of trading plan or trading journal to record my trades. So please note: This is a personal journal only, but NOT a trading suggestion. Please control your own risk if you want to follow, we may have different risk preference and position management strategy.
Date: 2020/10/01
No plan, No trading
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Entry reason:
Gold start rebounce from 1849 and tested 1901 twice and now reaches 1892.
In my last analysis, I point out there were 2 possible wave count scenarios:
========================= No.1 The previous big drop is wave-3 Then the current A-B-C correction is consolidating as wave 4 and it may be ranging for little bit more time. And the highest rebounce for wave-4 will be 1890.
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No.2. The previous big drop already completes a 5 wave pattern, and the wave-5 was a extended wave. This current A-B-C forms the final correction of the 8-wave cycle and once completed, another downside drop is expected. But for the A-B-C correciton, the highest could be 1885 or 1900. ==========================
Based on the current wave, I can see the No.2 scenario is likely to be the case and the correction is almost done for this rebounce.
If this H2 or H4 candle confirm the bearish, I will expect the price start going drop and test 1850 again.
1901 has been tested twice, and become a strong resistence to protect bearish position.
So here's my plan:
The current key resistence will be 1901 The key support is: 1881,1870.
I will sell around 1893 - 1900. SL 1905. TP 1880 1850