Gold may extend the Bearish wave and deliver #3rd Lower Low
My position: I have closed my yesterday's Buy order on breakeven after #9 flat Hours of consolidation throughout yesterday's session, without additional risk of keeping the position overnight. I have engaged my set of Selling order calling for #1,818.80 extension.
Gold's correlations: Gold keeps close track of the DX and Bond notes (strongest correlation I have at the moment) as in the absence of macroeconomic news throughout yesterday's session was consolidating, ignoring though the Stock markets Trading near the Resistance, which shows that it continues to be detached to DX/Bond notes and rallies on Stock markets don’t (as for the current configuration at least) translate into equal rallies on Gold as long as DX isn't falling. Gold was too close to the Daily chart #MA50 (which was broke only twice since December #22) and this is not the time to take wild bets on the market, that is obviously waiting for catalysts to move. Right now Selling towards the Lower Low of #1,818.80, having a stop on the Daily chart #MA50 near #1,863.80, is the most optimal Trade to take, if of course variance allows. U.S. session aswell should have Selling sentiment, but as I cannot rule out Bullish reversal followed by Buying sequence, I am added decent Stop-loss.
Technical outlook: Gold is consolidating, mostly below it’s Daily chart #MA50 (Xau-Usd Spot prices at #1,863.80), which Technically leans more to the Bearish side. Investors are waiting for core economic catalysts, besides yesterday's flat session, as Stimulus hopes arise and comfort Buyers in their intent. DX is Trading again on the same pattern, started on January #4, creating High’s which are later Sold, which Low’s can turn Gold Higher (especially since the equities are posting a strong rally), but that hasn't happened so far, leading me to believe that the DX weighs more on Gold than Stock markets at the moment. As discussed, keep track of the DX to make Short-term entries on Gold, as the Medium-term remains Bullish (Even though that Channel Up is invalidated on the Daily chart, started on June #5, #2020). In my opinion, if #MA50 breaks on Daily chart, it would deliver solid Buying opening towards #1,900.80 psychological barrier / however on the other side, #1,839.80 presents decent Support for current Bullish variance, and if broken, Gold could deliver #3rd Lower Low.
Gold's correlations: Gold keeps close track of the DX and Bond notes (strongest correlation I have at the moment) as in the absence of macroeconomic news throughout yesterday's session was consolidating, ignoring though the Stock markets Trading near the Resistance, which shows that it continues to be detached to DX/Bond notes and rallies on Stock markets don’t (as for the current configuration at least) translate into equal rallies on Gold as long as DX isn't falling. Gold was too close to the Daily chart #MA50 (which was broke only twice since December #22) and this is not the time to take wild bets on the market, that is obviously waiting for catalysts to move. Right now Selling towards the Lower Low of #1,818.80, having a stop on the Daily chart #MA50 near #1,863.80, is the most optimal Trade to take, if of course variance allows. U.S. session aswell should have Selling sentiment, but as I cannot rule out Bullish reversal followed by Buying sequence, I am added decent Stop-loss.
Technical outlook: Gold is consolidating, mostly below it’s Daily chart #MA50 (Xau-Usd Spot prices at #1,863.80), which Technically leans more to the Bearish side. Investors are waiting for core economic catalysts, besides yesterday's flat session, as Stimulus hopes arise and comfort Buyers in their intent. DX is Trading again on the same pattern, started on January #4, creating High’s which are later Sold, which Low’s can turn Gold Higher (especially since the equities are posting a strong rally), but that hasn't happened so far, leading me to believe that the DX weighs more on Gold than Stock markets at the moment. As discussed, keep track of the DX to make Short-term entries on Gold, as the Medium-term remains Bullish (Even though that Channel Up is invalidated on the Daily chart, started on June #5, #2020). In my opinion, if #MA50 breaks on Daily chart, it would deliver solid Buying opening towards #1,900.80 psychological barrier / however on the other side, #1,839.80 presents decent Support for current Bullish variance, and if broken, Gold could deliver #3rd Lower Low.
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- 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.
