Gold is Targeting #1,800.80 psychological mark

Gold's general commentary: Gold (Xau-Usd Spot prices) is isolated within healthy Ascending Channel on Daily chart with the latest Weekly High’s at #1,772.80 (representing configuration only few points from strong Resistance zone aswell) as the Higher High’s Lower and Upper zone diagonal is priced at #1,752.80 - #1,782.80 extension. If Higher High’s Upper zone gets invalidated to the upside, correction is postponed (very slim chances). In my opinion, I should keep focusing on the Hourly 4 chart’s #1,782.80 strong Resistance level and enormous Buying pressure from DX which will most likely remain rather weak on #2-Week basis, which aims Lower Targets way below it’s #MA50 on Daily chart / which is the key level and optimal Medium-term viable Target for DX Sellers. So as long as the Higher High’s Lower zone and Hourly 4 chart’s Support are intact, Gold will be under huge Volatility, following identical movements as DX, which is not advisable to Trade upon before the confirmation candles.


Technical analysis: Since #1,752.80 mark, former Resistance now turned into a Support was invalidated and Price-action still didn’t reversed, solid chance exist for a re-test of #1,800.80 psychological benchmark (even a Top of local Higher High’s zone at #1,811.80, representing Resistance fractal in extension). As discussed, as long as those points are intact, Price-action fluctuation (which is evident on the charts) will continue to be visible and Gold will continue to Trade in Bullish fashion (Buying every dip that Price-action delivers). Gold’s Buying sequence is fuelled aswell by Hourly 4 chart’s Bullish Technicals, aswell newly formed Golden Cross which is adding credence to Buyers. If however #1,782.80 Resistance breaks, Gold will most likely resume the Short-term Buying sequence towards #1,800.80 benchmark (but if DX’s Dead Cat bounce reverses into a recovery which currently has small chances), Selling bias is limited to a great extent. Statistically, every time from September #2 / when RSI get’s rejected near the critically Overbought Resistance (is the case at the moment), Price-action starts the aggressive decline of #40$ points or more within #5 sessions, so if #1,748.80 - #1,752.80 breaks, expect #1,727.80 and #1,722.80 values to be met. This is not ideal time to Sell Gold both on Short and Medium-term, unless Support benchmark breaks.


My position: Remember my remarks regarding financial crisis around the corner where I mentioned that ahead of every crisis, DX and Gold are on huge gains, then Gold reverses into a Selling Medium-term leg, DX tests Higher High's extension (current #20-Year High's). Then later on, when crisis is about to take place, DX loses strongly and Gold gains as a safe-haven (fractal which is happening at the moment). So bottom line, this is undisputed Bullish trend and total Buying domination. Since Gold is already on #15-point decline, I believe that Selling sequence is limited to a great extent. I will await #1,748.80 - #1,752.80 Support zone test, and re-Buy Gold from there towards #1,782.80 Resistance. If Support zone breaks however and market closes the session below (assuming that DX found and priced in the Support zone), I will Sell Gold on spot towards #1,727.80 extension.