Gold is looking bad if you selected this asset as a short term investment plan. Based on the technical analysis the asset passed the crucial mark of $1900 with good volume and very aggressive selling.
On the hourly timeframe the RSI indicator started to show some divergence. As a result, we expect the asset to retrace back. The maximum retracement that we expect is the area of 0.38 - 0.5 Fibbamnacii level. This will be the area of $1900 and will re-check this level as new resistance.
At the same time, it is possible to have a very small retracement or no retracement at all and the continuation of the downward trend towards the area of $1811. This is the level of July's Point of Control. If this will happen then such action will most likely create the divergence on the 4H RSI and may create a nice point for the short term long position.
Best of luck with your trading!
On the hourly timeframe the RSI indicator started to show some divergence. As a result, we expect the asset to retrace back. The maximum retracement that we expect is the area of 0.38 - 0.5 Fibbamnacii level. This will be the area of $1900 and will re-check this level as new resistance.
At the same time, it is possible to have a very small retracement or no retracement at all and the continuation of the downward trend towards the area of $1811. This is the level of July's Point of Control. If this will happen then such action will most likely create the divergence on the 4H RSI and may create a nice point for the short term long position.
Best of luck with your trading!