Gold under heavy Buying pressure / CPI ahead
As discussed throughout my yesterday's session commentary: "My position: Therefore, I have engaged Selling order on #2,348.80 (entry point) with very strict Stop-loss, optimal Target remains #2,300.80 benchmark. Since Gold failed to extend the Buying sequence towards record High's, Buying should remain limited (however overall Bullish trend persists)."
I have expected PPI numbers to deliver upside surprise which in turn should add significant Selling pressure on Gold however such surprise delivered only few points spike to the downside on Gold (#2,337.80) where Price-action delivered a reversal, as I had order engaged on #2,348.80, I have closed it on #2,340.80 within smaller Profit in comparison of what I expected and didn't engaged additional orders for the session.
Technical analysis: Should Hourly 1 chart’s Price-action re-test the already mentioned Support zone in the shape of a Bearish comeback (entry / Stop parameters can be defined according to this pattern if variance allows) along with both Weekly (#1W) and Daily chart’s exhibiting room to extend the sequence Lower is likely enough to draw in Short-term Sellers. A failure to hold #2,338.80 will likely call for a move downwards near Daily Support zone, however break of #2,362.80 - #2,372.80 Resistance zone calls in for #2,392.80 Resistance in extension test (confirmed with market closing of course). DX is unable to stage Intra-day sustainability which is delivering Buying spikes on Gold. I am not satisfied with how Gold performs ahead of U.S. session opening Bell and will not participate on such market, will only re-Sell ahead of CPI numbers. All bigger charts are critically Overbought and RSI in particular (not the one everyone else is using, I am using my own modified RSI indicator) is above #8-Month Resistance zone, indicating that Selling sequence ahead should stop somewhere between #2,200.80 - #2,252.80 benchmarks as #2,330.80 represents final Support ahead of #2,312.80 - #2,320.80 belt / personally it is DX weakness what keeps Gold on Higher levels (#2,337.80 - #2,343.80 liquidity area on #15-minute chart). As long as DX is vulnerable, the Hourly 4 chart’s Support zone on Gold is coming strong from below to offer stiff Support (and rebound point) as it has done so since early #Q1. Fundamentally the market's eyes are on the indecisive Fed’s chair and CPI announcement, as well in anticipation of a further tapering that will continue to Support the economy in the similar fashion since March - April have done.
My position: As discussed above, I will re-Sell Gold ahead of CPI event as I do expect upside surprise (similar to PPI numbers). DX has to reverse sooner or later.
I have expected PPI numbers to deliver upside surprise which in turn should add significant Selling pressure on Gold however such surprise delivered only few points spike to the downside on Gold (#2,337.80) where Price-action delivered a reversal, as I had order engaged on #2,348.80, I have closed it on #2,340.80 within smaller Profit in comparison of what I expected and didn't engaged additional orders for the session.
Technical analysis: Should Hourly 1 chart’s Price-action re-test the already mentioned Support zone in the shape of a Bearish comeback (entry / Stop parameters can be defined according to this pattern if variance allows) along with both Weekly (#1W) and Daily chart’s exhibiting room to extend the sequence Lower is likely enough to draw in Short-term Sellers. A failure to hold #2,338.80 will likely call for a move downwards near Daily Support zone, however break of #2,362.80 - #2,372.80 Resistance zone calls in for #2,392.80 Resistance in extension test (confirmed with market closing of course). DX is unable to stage Intra-day sustainability which is delivering Buying spikes on Gold. I am not satisfied with how Gold performs ahead of U.S. session opening Bell and will not participate on such market, will only re-Sell ahead of CPI numbers. All bigger charts are critically Overbought and RSI in particular (not the one everyone else is using, I am using my own modified RSI indicator) is above #8-Month Resistance zone, indicating that Selling sequence ahead should stop somewhere between #2,200.80 - #2,252.80 benchmarks as #2,330.80 represents final Support ahead of #2,312.80 - #2,320.80 belt / personally it is DX weakness what keeps Gold on Higher levels (#2,337.80 - #2,343.80 liquidity area on #15-minute chart). As long as DX is vulnerable, the Hourly 4 chart’s Support zone on Gold is coming strong from below to offer stiff Support (and rebound point) as it has done so since early #Q1. Fundamentally the market's eyes are on the indecisive Fed’s chair and CPI announcement, as well in anticipation of a further tapering that will continue to Support the economy in the similar fashion since March - April have done.
My position: As discussed above, I will re-Sell Gold ahead of CPI event as I do expect upside surprise (similar to PPI numbers). DX has to reverse sooner or later.
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- Few other un-official channels are not mine, they are copies using my real information (impersonating me and my work / identity) so keep that in mind and beware of those.