Gold on relief rally out of nothing

Technical analysis: As discussed, as long as #1,952.80 psychological benchmark holds, Gold is more likely to push towards #1,960.80 - #1,970.80 extension delivering Higher Low’s Upper zone test, invalidating the Hourly 4 chart's Ascending Channel. Current Trading week is packed with unexpected spikes, so Technically the real trend will be revealed after those, since yesterday’s session delivered indecision movements only. The Short-term Price-action has turned Bullish just over the Hourly 4 chart’s first Support fractal of #1,927.80 - #1,932.80. It is interesting fractal to mention that even the Daily and even Weekly chart (#1W) to a certain extent are Bearish. Everything depends upon the DX once again (and to a lesser extent the Bond Yields), so I can't make any Short-term recommendation other than the breakout points that I am already Trading on (#1,952.80 towards #1,927.80) and set of Selling orders I am already operating with, Selling every rise that Gold delivers. Spot also how Xau-Usd (Spot prices) and GC (Futures prices) are finally closing the gap and getting into tight range again (indicating that market should return into normal conditions). Regarding today’s session - two straight green Hourly 4 chart’s candles (after Bearish rejection, many similarities with December #15 levels) so far which indicate (unless broken) that #1,975.80 - #1,985.80 should pose as an strong Resistance zone this time. It is important to note that RSI levels, visible on my charts should draw Sellers into consideration, as RSI on Hourly 4 chart is mildly on Descending Channel (rejected on Double Top). Do not let side Intra-day Swings to cloud your judgement / regardless of the Daily fluctuations, trust your order and model.


My position: Gold is under violent Volatility after almost #40-point relief rally out of nowhere, however I have strong reservations whether it can last. I do not believe that Resistance zone and final Resistance of #1,991.80 to give away negating all Selling bias on the Short-term. This is manual preventing the downtrend however there is still much more Selling potential left, and as stronger the rise is (Inflated Prices easily crumble) the stronger the decline will be.