Gold(xauusd) the yellow metal is one of the most interesting pair to trade in the commodities markets because of its high volatility and big movements. Recently gold has experienced quite bearish trading weeks . Nothing to surprise clash between technical and fundamentals lead gold to have couple of bullish correction trading days.
At the moment technical analysis suggest that gold is still in decent descending channel in daily and weekly time frame. If we have a look in the past after every big impulse there is correction and later will continue their main trend. Going in weekly Timeframe gold has just retraced and rejected 38.20% fib of weekly bearish impulse from where we can expect a big drop of gold. Current Super strong weekly resistance for gold is at 1764 (highlighted by horizontal line in chart) which bulls are trying to target but seems very unlikely at the moment.
My Positions: I am completely bearish on gold and I expect 1623 level to be reached with 2 trading weeks and only a break above 1780 would change my bearish scenario for gold.
Comment:
As mentioned above gold is currently running on huge profit more than 400+ pips my target still remains the same hope you al got benefited by my idea.