NOTES:
In my previous post I indicated a short-term retracement after a rising wedge appeared. the price indeed retraced as expected. However, I don't expect Gold will drop beyond 1845. for the following reasons:
1. On the 4-day chart, there is an obvious falling wedge that is depleting slowly and preparing for a turnaround. Typically wedges break out at 38 Feb level. I have back-tested 5 wedges through the years of Gold price and ALL OF THEM respected the 38 level.
2. Combining that with the head and shoulders pattern printing on the daily chart x
3. Apart from that, the fact the bitcoin and the dollar are dropping is also adding to the odds of Gold rising again.
4. Most importantly, Gold has been in the making of a cup and handle pattern for more than 10 years (a decade-long). Price started printing the handle part in July.
Adding all together increases the chances of a market reversal rather than a continuation.
In my previous post I indicated a short-term retracement after a rising wedge appeared. the price indeed retraced as expected. However, I don't expect Gold will drop beyond 1845. for the following reasons:
1. On the 4-day chart, there is an obvious falling wedge that is depleting slowly and preparing for a turnaround. Typically wedges break out at 38 Feb level. I have back-tested 5 wedges through the years of Gold price and ALL OF THEM respected the 38 level.
2. Combining that with the head and shoulders pattern printing on the daily chart x
3. Apart from that, the fact the bitcoin and the dollar are dropping is also adding to the odds of Gold rising again.
4. Most importantly, Gold has been in the making of a cup and handle pattern for more than 10 years (a decade-long). Price started printing the handle part in July.
Adding all together increases the chances of a market reversal rather than a continuation.