XAUUSD - KOG REPORT!

Gold! In last weeks KOG report we suggested we would like to see the price attempt to test that 1830 level again where we wanted to see resistance. We said that level would represent a good opportunity to test the short trade towards the 1820 and 1808 levels. Not only did the price fall towards the mentioned levels it surpassed the support and hit a weekly low of 1782. For this reason we said we would only be taking shorts on Gold and staying away from the long trade.

What can we expect in the week ahead?

We’ll stick with our view from last week where we want to see more bearish pressure on the precious metal. We can expect the market to open with potentially another test on the low before beginning some form of retracement to test the higher resistance levels of 1795 and above that 1803-5. At these levels we would again like to see some strong resistance, and based on that feel these price points would be an opportunity to test the short trade towards the lower support levels of 1780 and below there 1758-55.

We have shown what we think the roadmap is on the daily chart, over the course of the week we will update the plan with the smaller time frames.

As always, trade safe.

KOG