Closed above the 200 MA - Inside the sell zone
$XAUUSD reached last week to the sell zone I mentioned in my previous analysis (see linked idea).
The first resistance zone was 1165-1180$ (red box). The price closed near the zone's top, just above the 200 days MA.
In case that $XAUUSD will decline below 1170, below the 200 days MA, this could be a sell signal that can be used to short $XAUUSD with stop loss above 1190$.
If $XAUUSD will remain above the 200 SMA line, it may be wise to wait for it to reach the second sell zone - 1200$ - to complete the bearish Gartley pattern and to look for smaller time frames reversal patterns there.
In this case, the stop loss must be above X and the price must close back below the 200 SMA line to confirm that it intends to reach 1160 and 1140, which are the first target levels of this bearish setup.
This analysis is part of the Weekly Markets Analysis newsletters
To read more interesting technical reviews - goo.gl/cp4Rn5
To subscribe to the newsletters - goo.gl/HXjCPV
The first resistance zone was 1165-1180$ (red box). The price closed near the zone's top, just above the 200 days MA.
In case that $XAUUSD will decline below 1170, below the 200 days MA, this could be a sell signal that can be used to short $XAUUSD with stop loss above 1190$.
If $XAUUSD will remain above the 200 SMA line, it may be wise to wait for it to reach the second sell zone - 1200$ - to complete the bearish Gartley pattern and to look for smaller time frames reversal patterns there.
In this case, the stop loss must be above X and the price must close back below the 200 SMA line to confirm that it intends to reach 1160 and 1140, which are the first target levels of this bearish setup.
This analysis is part of the Weekly Markets Analysis newsletters
To read more interesting technical reviews - goo.gl/cp4Rn5
To subscribe to the newsletters - goo.gl/HXjCPV
Comment:
Position closed.
