Here's what I know:
- Gold is in an uptrend
- It put in a nearly perfect 50% retracement
- Good support at ~$1,760
What to look for:
- break of the trend line...ideally two bars closing above with a touchback.
- further weakening of the USD
What to do?
- Start adding long positions now with stop loss around $1,750.
- Add to long position with break of trend line.
- Once the trend line is broken as per above, move stop loss to just below low of touchback level.
- Target $2,300...continue moving stop loss higher along the way.
Easy peasy.
- Gold is in an uptrend
- It put in a nearly perfect 50% retracement
- Good support at ~$1,760
What to look for:
- break of the trend line...ideally two bars closing above with a touchback.
- further weakening of the USD
What to do?
- Start adding long positions now with stop loss around $1,750.
- Add to long position with break of trend line.
- Once the trend line is broken as per above, move stop loss to just below low of touchback level.
- Target $2,300...continue moving stop loss higher along the way.
Easy peasy.
Trade active:
Price bounced nicely from the $1,760 level last week.
Aggressive traders can add if the price revisits that level again with a tight stop.
A conservative approach is to wait for the trend line to be broken before entering long.
Aggressive traders can add if the price revisits that level again with a tight stop.
A conservative approach is to wait for the trend line to be broken before entering long.