Pending Selling order triggered / #1,748.80 on the cards

Gold's general commentary: Despite the fact that DX corrected Tuesday’s session sharp takedown, Gold opened the E.U. session in Bearish fashion after the Bond Yields retraced a bit, as Selling momentum is surely visible and Gold Sold back Buying accumulation on the Core CPI aftermath. This is most likely speculative positioning ahead of next week’s Fundamentals (Fed minutes). This will be the critical factor for Gold regarding Monthly fractal as I expect aggressive decline to take place, but may be postponed but surely not out of the question (#1,748.80 or less) if Bond Yields continue the recovery and DX recovers in the same manner on the NFP debacle aftermath. Daily chart turned Highly Bearish on Higher timeframe and #1,800.80 is my first Resistance. If broken, Gold can push as much as #1,812.80 (above Hourly 4 chart’s Resistance zone). As discussed, I expect Sellers to arise since DX couldn't Trade on Low’s for much longer. At the moment DX is outperforming Gold indicating that I can spot Bearish bias mainly because #2 reasons: 1) Gold should be significantly Higher taking the circumstances in consideration, but isn’t and #2) deflating as the geopolitical tensions escalate and the capital that was parked on Gold should be relocated to riskier assets. I remain confident that the cyclical downside has potential to hit #1,678.80 in the coming #1 - #2 Months. Keep in mind that the Volatility will get Higher and Higher as market head towards Fed minutes (where I expect Gold’s meltdown), so I won't be taking any excessive risks. If DX continues the recovery early on, expect #1,782.80 and #1,778.80 in extension by end of the session.


Technical analysis: No surprises at the moment as Gold erased last week’s gains and is marginally below the #1,792.80 strong Support on the Hourly 4 chart as, despite Bullish Gap fill on Bond Yields, DX should soaring on a positive U.S. Trade deal environment. Technically, Daily chart turned Bearish as I still don’t see recovery signs and Bullish sustainability. The Medium-term charts Daily and Weekly still point to a Lower Price-action which reveals underlying Bearish Long-term trend and this is why I will keep Selling every Top on the longer run. A relative risk factor is off the markets and that’s why DX should rise, along with the Bond Yields and add more Selling pressure on Gold. Also, as long as Bond Yields are Trading near Resistance zone, their Channel Up will be intact and will progressively apply Selling pressure on Gold, since Bond Yields attract risk seeking capital from Gold. I do expect however the currency speculators to push DX as High as they can ahead of this week’s Fundamental events in order to secure a more comfortable Sell entry in late session near the weekend break. All my previous points and entries remained intact. Regarding yesterday's session, U.S. opening Bell delivered decent Selling action as #1,800.80 barrier Support is crossed and current configuration represents fair Selling signal. Hourly 4 chart needs to recover current losses otherwise should drop further.


My position: As discussed throughout my yesterday's session commentary: "Sellers should wait for area to be engulfed and engage only if #1,794.80 first Support breaks." My pending Selling order got triggered and activated, with #1,794.80 entry point. However, I moved my Stop-loss on breakeven to prevent unexpected scenarios, as today's session Retail Sales is #2nd Fundamental announcement in a row which can postpone the downtrend, and fair Technical value of #1,748.80 test. Number Lower than expected could hurt DX and add Buying pressure on Gold, and current configuration offered me no other alternative than to move the Stop-loss in Profits or close the order in small Profits if Retail Sales have Lower than expected reading. All in all, I am expecting #1,748.80 next sooner or later, where no more Fundamental announcements can save and arise Buyers.

Trade closed manually:

Closed Selling order on #1,780.80.