Gold within Neutral Rectangle / leans more to the Bullish side
Gold's general commentary: Gold naturally found Buyers as Buying pressure is evident on the charts. It is important to note that #1,870.80 is next Resistance, which is really near as Price-action could find strong rejection there and deny the Buying response. If broken, Price-action will be calling for #1,892.80 extension. I will engage my orders accordingly and wait for suitable entry. However, Gold re-tested and was again rejected on the #1,850.80 Hourly 4 chart’s Support keeping the Bullish bias alive. The Engulfing Bearish reversal candle on Hourly 1 succeeded at rejecting the price action and catching already the #32% Fibonacci level. I expect the last Daily candle to test again the #1,862.80 semi-Resistance. If my last Target on this uptrend of #1,895.80 is not achieved by next Weekly closing, I will alter the remaining Buy orders and will find new suitable entry to contemplate new set of Selling orders (addition on what I will open), as the current global Fundamentals are still not too fluid to go through the weekend with open positions. The current Weekly candle is at (# +0.16%), indicating strong Bullish continuation bias, extending the green Daily candle streak to #5. Symmetrical candle patterns is the sum of an otherwise pale session with the Price-action pivoting around #1,860’s on High Volatility scenario. My formula points that Investors are waiting Monday’s U.S. session to set the (probable Bearish continuation) pace on Bond Yields which will add Bullish pressure on Gold. Gold displays clear Bullish signs as it decouples from DX, but the Volatility on the Usd-Jpy can keep Gold on this range for quite a while. I will Buy Gold only if #1,870.80 - #1,873.80 breaks, and possible correction might be strongly limited due to slow trend on Bond Yields.
Technical analysis: Despite yesterday's U.S. session’s opening indecision, Gold is showing High durability as it remains on Higher High’s relative to Friday’s and Monday's attempts to find the equilibrium between DX and Bond Yields. Despite the new Low lately on DX, the continuous decline on Bond Yields and of course the parabolic downtrend (emerging Head and Shoulders pattern on Weekly chart) - Gold still hasn't made a new Higher High, making me believe that the underlying trend remains Bearish (Medium-term) but with Bullish Short-term gradient, as Price-action is Trading on local Higher High’s - as I doubt it will stay this way for long (which constitutes that #1,895.80 might be the Ultimate Top). Further argument for it is that the Weekly chart is defending the further both upside and downside movement as Gold should follow through soon enough (any break above #1,780.80 is an full Bullish confirmation). My advice for Short-term Traders is to Buy Gold on tight stops whenever they see Daily Bearish candle on DX or Bond Yields, keeping in mind that the market has to make needed correction, can’t only Trade in one direction. Gold almost broken the Resistance and engaged Bullish extension, but Initial Jobless Claims Fundamentally distorted Technical fair trend and almost broken the Support zone. Market sentiment is too dangerous to approach without breakout points and Risk management, but both way’s I am expecting #1,900.80 psychological barrier test within #5 sessions. Gold can’t keep ignoring Low’s on Bond Yields for much longer. However as long as Gold don't break #1,870.80, I can't confirm Bullish sustainability, but as the DX is Trading on Bearish candles again and Yields struggling to make Bullish comeback, my Buying outlook regarding Short-term is unchanged.
Technical analysis: Despite yesterday's U.S. session’s opening indecision, Gold is showing High durability as it remains on Higher High’s relative to Friday’s and Monday's attempts to find the equilibrium between DX and Bond Yields. Despite the new Low lately on DX, the continuous decline on Bond Yields and of course the parabolic downtrend (emerging Head and Shoulders pattern on Weekly chart) - Gold still hasn't made a new Higher High, making me believe that the underlying trend remains Bearish (Medium-term) but with Bullish Short-term gradient, as Price-action is Trading on local Higher High’s - as I doubt it will stay this way for long (which constitutes that #1,895.80 might be the Ultimate Top). Further argument for it is that the Weekly chart is defending the further both upside and downside movement as Gold should follow through soon enough (any break above #1,780.80 is an full Bullish confirmation). My advice for Short-term Traders is to Buy Gold on tight stops whenever they see Daily Bearish candle on DX or Bond Yields, keeping in mind that the market has to make needed correction, can’t only Trade in one direction. Gold almost broken the Resistance and engaged Bullish extension, but Initial Jobless Claims Fundamentally distorted Technical fair trend and almost broken the Support zone. Market sentiment is too dangerous to approach without breakout points and Risk management, but both way’s I am expecting #1,900.80 psychological barrier test within #5 sessions. Gold can’t keep ignoring Low’s on Bond Yields for much longer. However as long as Gold don't break #1,870.80, I can't confirm Bullish sustainability, but as the DX is Trading on Bearish candles again and Yields struggling to make Bullish comeback, my Buying outlook regarding Short-term is unchanged.
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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.
