Aggressive takedown ahead towards #1,700.80 / Sell engaged

Gold's general commentary: Gold has ignored Friday's U.S. session Harami Cross Bullish reversal candle and remains basically ranged on Hourly 4 chart but still on strict Bearish gradient (Lower Low’s - Higher Low’s). On Daily chart’s basis, the next Low is located on the #1,748.80 - #1,742.80 mid-Support (Since #1,753.80 was broken on multiple occasions). Buyers who didn’t paid attention to DX have been stopped on breakeven (no falling knife catching) and had to close their positions with losses, that’s why my “no position” rule over Friday's session proven to be spot on. #1,778.80 is the Resistance, if broken - then the Weekly Resistance line (following the Hourly 1 chart’s Neutral Rectangle could be compromised as the Price-action will be calling for #1,792.80 configuration and #1,800.80 psychological barrier extension (this outlook has slim chances to develop). DX found the Support and attracted Buyers, but Gold is resisting so far further decline below bottom. My explanation to this is #1) DX is expected to move sideways for another #1 or #2 sessions horizon and #2) Gap on Bond Yields may be up to smooth the Overbought Technical action on both Hourly 4 chart and Daily (each on four). From here, only direction is downside, and since bias didn't changed over the weekend, I Sold on spot now (#1,757.80 entry point) as Gold is Targeting #1,727.80 and #1,700.80 psychological barrier in extension. Fundamentally (Q4 cycle from last Year, #2020), NFP report revealed that jobs growth for November increased less than anticipated, by #245,000, from October though #469.800 had been on the cards, and the Unemployment rate soared #0.2% to #6.7%. The participation rate as well, indicating that a greater number of U.S. citizens are no longer employed. Regardless, I expect Fed to remain rate unchanged on Fed minutes and skyrocket the DX which will add strong Selling pressure on Gold. Gold is Technically and Fundamentally ready for an meltdown.


Technical analysis: Very Volatile Short-term outlook as even though the DX keeps rising (far from declining), Gold is showing strong durability and is not losing ground, buy on the contrary it is on a very weak Hourly 4 candle currently. However the pattern since the September #14 Higher Low is descending and having clear Higher Low’s and Lower Low’s, pointing Traders that stronger proportion uptrend / mere recovery is still out of the question. Hourly 4 chart is Trading within mini-Triangle with the Price-action exactly within upper Lower Low zone and trendline (valid until #1,744.80 configuration, fairly symmetrical with August #12 Low) offers excellent R/R on a Selling Trade I am about to execute (break of #1-Month Low of #1,742.80 should deliver #1,700.80 psychological barrier test in extension). My analysis filters unexpected Medium-term reversals and my model Technically aims for #1,727.80 Lower Low extension then #1,695.80 - #1,700.80 stabilization zone. Medium-term fractal is about to break Triple Bottom on Daily chart (June #14, August #2, September #13), eyeing additional possible Quadruple Bottom on Weekly chart (#1W), (June #1, #2020), March #1, March #29, August #9), potential Target of current variance is #1,678.80, final Bearish extension.


My position: As discussed above, I have engaged Selling order (#1,757.80 entry point), with #1,720.80 as my first Target. I am expecting #1,700.80 test within #5 sessions.