pleased to report yesterdays analysis of gold I published was correct and price did in fact move to the downside, what's interesting is that it looks like another bearish move is coming.
1) following this afternoon's breakout below the green trend line price retraced perfectly off the 1825 level making a minor pullback to just above the 1835 level, I believe this could become an ABC pattern as illustrated by the white trend lines.
2) looking at the orange and blue trend lines I've plotted a rough symmetrical triangle pattern likely signaling a downward continuation aswell.
3) finally as illustrated by the blue trend lines under price and on the volume indicator we have bearish divergence adding further bearish bias to my analysis.
I will look for the volume bars to break blue trend line to confirm entry assuming of course that price breaks to the downside, however we will likely have to wait until tomorrow to take action , the fed will be releasing non farm payroll and unemployment data at 13:30 tomorrow so I will be paying close attention to gold at this time.
1) following this afternoon's breakout below the green trend line price retraced perfectly off the 1825 level making a minor pullback to just above the 1835 level, I believe this could become an ABC pattern as illustrated by the white trend lines.
2) looking at the orange and blue trend lines I've plotted a rough symmetrical triangle pattern likely signaling a downward continuation aswell.
3) finally as illustrated by the blue trend lines under price and on the volume indicator we have bearish divergence adding further bearish bias to my analysis.
I will look for the volume bars to break blue trend line to confirm entry assuming of course that price breaks to the downside, however we will likely have to wait until tomorrow to take action , the fed will be releasing non farm payroll and unemployment data at 13:30 tomorrow so I will be paying close attention to gold at this time.
Comment:
apologies to those looking for the symmetrical triangle it was supposed to be shown with the orange trend line but i adjusted it before i posted my idea #amateur , if you pull up a gold chart you can easily spot it ;)