My position/outlook: Due to the danger of Stimulus as a catalyst Buy-off on Gold, I decided to close my Selling order yesterday on breakeven (#2nd position in a row) and engage only if #1,842.80 breaks (Support rejected the Price-action on multiple occasions, especially on U.S. session) and comfortably remain on sidelines. However, if #1,864.80 breaks (few points above the #MA50 on Daily chart), I will continue Buying towards #1,900.80 psychological barrier. Gold is giving nothing but mixed signals and near the weekend break, it is not time to make strong bets on the market / with possibility of keeping the position over the weekend and in the same time, endanger my capital. I am highly satisfied with my Profits as I will not engage risky shots, especially in at current market sentiment where Price-action can go both ways.
Technical analysis: As expected the Price-action pulled back to the Daily chart #MA200 and even broke it. That is of course Fundamentally attributed to Stimulus expectations, but Technically as discussed, it is a direct consequence of the inability of Gold to break the Daily chart #MA50 and the rejection on the Higher Low trendline of the Hourly 4 mini Channel Down (which marginally turned Bearish again) for the first time since January #4. Currently, Gold is seen Trading within the Triangle, which can break on both sides and and engage the rally / so my practical suggestion for Short-term Traders with smaller margins would be to remain off the markets, since their account can be easily liquidated with current market sentiment. I have been pointing out a lot the importance of keeping an eye on the DX (especially on today’s session and Monday after Fed Minutes) which was clearly on the Bottom of its Daily chart Channel Up, so again no surprises for the current consolidation on Gold (negative correlation between the two). As long as #MA50 holds on Daily chart, Gold will consolidate, unless Resistance or Support breaks.
Technical analysis: As expected the Price-action pulled back to the Daily chart #MA200 and even broke it. That is of course Fundamentally attributed to Stimulus expectations, but Technically as discussed, it is a direct consequence of the inability of Gold to break the Daily chart #MA50 and the rejection on the Higher Low trendline of the Hourly 4 mini Channel Down (which marginally turned Bearish again) for the first time since January #4. Currently, Gold is seen Trading within the Triangle, which can break on both sides and and engage the rally / so my practical suggestion for Short-term Traders with smaller margins would be to remain off the markets, since their account can be easily liquidated with current market sentiment. I have been pointing out a lot the importance of keeping an eye on the DX (especially on today’s session and Monday after Fed Minutes) which was clearly on the Bottom of its Daily chart Channel Up, so again no surprises for the current consolidation on Gold (negative correlation between the two). As long as #MA50 holds on Daily chart, Gold will consolidate, unless Resistance or Support breaks.
- 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.
