Gold is Targeting #1,766.80 in extension / Selling accumulation

Gold's general commentary: Lagging upswing sequence on Hourly 4 chart as the Price-action re-entered the Lower values of Daily chart’s Resistance zone, following the #1,800.80 strong Resistance rejection and extending the recovery candles on NFP debacle aftermath. This is no cause for alarm nor changing my perspective. I am ready to engage my Selling order as long as Daily chart’s Resistance zone is holding, since I am certain on Gold’s Short and Medium-term Selling trend. As discussed, Gold extended the Buying leg / recovery, but I doubt it will continue due market closing below the psychological barrier throughout Friday's session. Best option for the moment is to preserve the Selling benchmark (entry point of #1,790.80 or below), and monitor the Price-action from sidelines. If however #1,785.80 breaks once again then expect Selling sequence to be completed within #1,760’s belt and only then I’ll revise my Short-term approach . If not, I expect Price-action again to remain consolidating within #1,790's belt before pricing in and revealing new move. At the moment the Price-action is only consolidating on Hourly 1 chart, as I am not making strategy shift so far. The Price has been struggling to get past the #1,800.80 barrier all session (representing #MA50 and #200 on Daily chart) long (early E.U. opening) as the late December High's and Daily chart’s Resistance cluster applies Selling pressure. However, with the Fundamental reports reaction arising Buyers (thus weakening the probability for another immediate rate cut) and DX still not reversing and remained weak - it is still not possible to break to the #1,785.80 Low eventually, with DX this on current Low's. However, the downside offers more potential and I will wait for the rejection again on early U.S. opening, and break of my Selling benchmark. Unless the Trade war escalates down the road, which is a largely unpredictable factor, Gold will break the Support sooner or later.


Technical analysis: As expected the NFP aftermath has accumulated the necessary Buying force, initially to stop the downtrend (Gold pressured by NFP aftermath where DX was losing with every Hourly candle) and make Gold Trade sideways on Hourly 4 chart. There is evident Buying pressure on Gold's Hourly Price-action, but all upside attempts will be limited due Bond Yields on #10-Month High's, so my most viable plan remains: await the rejection and engage my Selling sequence near #1,790.80, as Bearish Flag is comfortably forming as expecting. On the Short-term, it is Hourly 1 chart that got my attention that has the most probabilities to meet it’s Bearish Divergence and that will be within #1,766.80 - (my Short-term Target). On an Intra-day level, if #1,800.80 breaks, expect #1,808.80 to be filled which may be the maximum out of current Gold's recovery. As I mentioned, these pullback projections will be invalidated once Gold crosses below last week's session Low's of #1,783.80. Gold may defend the Support line for a period of time as I Highly doubt the Bullish potential, which means subsequently that Bearish bias is inevitable. With Bond Yields on current High's, every Top rejection on Gold should be instantly Sold, so both Scalpers and Swing Traders have decent Targets.


My position: As I Highly doubt the Buying potential and I am not interested in Buying regarding Gold's Short and Medium-term, I will monitor the Price-action from sidelines and wait for #1,790.80 test to engage my Selling order, Targeting #1,766.80 in extension. I will continue implementing strict Risk management due current violent Volatility regarding Short-term. Professional Trader always tends to await the Price-action to come to his/hers desired point, not Trading against the trend / and what was posing as an Resistance, when broken becomes the Support (and vice-versa).