Gold's general commentary: Price-action found strong Resistance at #2,000.80 - #2,005.80 belt as expected and mentioned development alone Naturally attracted heavy Selling pressure on Gold. Previous Hourly 4 chart’s candle (Gravestone Doji) altered the uptrend potential way below the Resistance zone and the current one should stop near the #1,952.90 psychological barrier (as I noted many times on my inputs that Selling Fundamental uptrend is dangerous without tight Stop's). I don't expect Gold to Trade any Lower than this week’s numbers especially with RSI lately crossed the #8-Month Resistance (that was the one of the reasons of Short-term decline throughout current #2 consecutive sessions). Regardless of that, the Weekly chart’s configuration constitutes that the #2,000.80 pressure point should be tested once again and a rebound might be in the offing as the Short-term Buying sequence is looking for continuity.
Technical and Fundamental analysis: I personally remain fully Bullish under the Daily chart’s Buying action (invalidated Descending Channel delivered healthy Ascending Channel fuelled by Golden Cross) of the past several weeks which suggests that Trading will continue to be performed within the #1,980.80 - #2,000.80 wide belt unless #2,000.80 psychological benchmark breaks. Prepare for total Bullish domination and multi-Month Bear cycle on the aftermath. In addition, I spotted viable model which added credence to my orders where Price-action always tested #1,930.80 - #1,940.80 fractal on cyclical downside, many similarities with July #5, #2022 and June #6, #2021 Year (both local High’s) which extended the Price-action near mentioned values which gives conclusion that every local High's correction will be aggressive one. Gold always delivers #3 similar cycles once first #2 appear. Fundamentally, currency is being printed worldwide without any significant backup, as I expect DX to continue the decline and remain one of the losers (especially with U.S. government preparing #5-Year plan which is not looking promising in battle with Inflation aswell with rising recession fears), and this mix is making currency speculators on the wrong side of the market as DX should slide badly under the circumstances. Notice that despite yesterday’s session pullback and Selling sequence, today’s Daily candle was on another takedown (almost #2-session # -1.00% decline) however Weekly candle (#1W) will most likely close with gains. Gold is on yet another Short-term correction however Daily chart remains under healthy Bullish Technicals where I do expect #2,000.80 psychological benchmark test once again (forming possible Quadruple Top if Price-action manages to reject the Buying sequence) and if that is the case, I am expecting #1,952.80 psychological benchmark test and #1,900.80 barrier aggressive Gap fill on the aftermath. I will observe today’s E.U. session from sidelines and look for more Intra-day pointers as U.S. session opening approaches.
My position: I still see no firm patterns to Trade by, as I optimal strategy remains to Trade the breakout. I give more probabilities to the upside due Bullish values on Daily chart, however #1,940.80 - #1,945.80 Support zone break may aggressively fill #1,930.80 contact point, and market closing below the Support zone may extend the correction towards #1,900.80 psychological benchmark. #1,960.80 - #1,965.80 remains decent re-Buy zone and if you want more confirmation, await market closing.
Rise and Shine as always like stars 💕