On the 4H Gold (XAU/USD) chart, we're seeing a constriction of price between the descending trendline and the 200-day SMA. Price is currently struggling below the 21 EMA, indicating a short-term bearish bias within a larger bullish context provided by the 200-day SMA.
Entry Strategy: Wait for a decisive break either below the 200-day SMA or above the 21 EMA. A break below could offer a short entry, while a break above could signal a bullish reversal.
Target 1: For a short position, target the first level of weekly support around 2146 USD.
Target 2: Further downside continuation would bring the next support level into play, around 2130.
Conversely, for a long position initiated after a bullish break, the first resistance around 2162 USD serves as Target 1, with the subsequent resistance near 2190 USD as Target 2.
Keep an eye on the EMA and SMA crossovers and the descending trendline for confirmation
Entry Strategy: Wait for a decisive break either below the 200-day SMA or above the 21 EMA. A break below could offer a short entry, while a break above could signal a bullish reversal.
Target 1: For a short position, target the first level of weekly support around 2146 USD.
Target 2: Further downside continuation would bring the next support level into play, around 2130.
Conversely, for a long position initiated after a bullish break, the first resistance around 2162 USD serves as Target 1, with the subsequent resistance near 2190 USD as Target 2.
Keep an eye on the EMA and SMA crossovers and the descending trendline for confirmation
Sheena Lynne