XAUUSD And The Factual Trader

So here we are again,

Landing at highs on impulsive Gold moves. Times like this bring opportunity for traders who are ready for them and understand the overall natural/long term flow of any market and the movement between buyers and sellers.

Remove your brain from everything you already know and just look at these two points;

- When prices get too high, traders pull out, demand drops, the price comes down.

- When prices get too low, traders buy in, demand increases, the price comes up.

It's just simple economics and trading inline with that principle means that you are going to be trading inline with how the markets always have and always ever will be. In fact, its not just this market, its the car market, the fruit market, the clothes market. You name it, its price swings from higher to lower based on demand.

So when you return back to HIGH prices that you've seen before, ask yourself, why would I buy?

If the voice inside your head said, but Will, what if it goes higher? Then it's a good idea to reply swiftly with it MIGHT go higher, but you sure have a lot of room to the downside first. It's very true it COULD extend into previous highs further but ultimately, inline with the above, it will fall eventually.

Use DCA rules and keep sizes tight to your equity. If you over-leverage on high prices thinking you are the king of all monster falls you will get burnt. So trade lightly and scale in at levels you know are factually high and you've seen have humungous falls from before.

That is how to understand the state of Gold.

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Starting to look short now for falls.

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Out at early Pa zones 2008. Looking to re short now.

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Get Short for second round.

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Exit again for gains.

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Remember often prices need to take out the first line of support usually HARSH sentiment needed for this followed by further downtrend on lower tfs

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Looking short into this week.

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Exit shorts

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Some short side gains taken no real sentiment / impetus for a smash through early PA.

Looking to re short anything 2030^

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Light Hedges 1966.

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Short Higher 2030

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Tonnes of news coming tomorrow regarding US and global data.

Do not guess news events just await impulse moves for entries.

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Starting to look to scale in short.

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Further shorts coming on higher push 2045.

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Should now be at full entry short.

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Exit 1 looking 2010

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Oh and make sure you're not a buyer.

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Tomorrow comes USA Retail Sales.

Just remember you should NOT be loading in. You should be SCALING in.

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Still teetering... Await US news

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Markets now falling

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Make sure DCA plans are also in order IF you do beat highs. This is why one does not load in and get creamed.

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Gains taken on fall. Looking to RE short

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Re shorts coming around 2033

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Exit any re shorts if you got them another smasher fall. ONLY looking to re short on higher pops and not interested in longs unless we can see a significant fall

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Slammed down for gains. Look to EXTREMELY lightly long if you want to hedge.

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Closing out for the weekend if you are not so experienced then its far too early to buy. get to 1966 area for light longs.

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Exit light longs.

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Targets hit both sides. Exit out and look for new plans come Monday London session.

Peace out

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Make sure this weekend you are reading all posts and streams on gold made by me. There’s loads to learn and to be prepared for come Monday.

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Market Very lacklustre No longs until 1966. Shorts come RE hit on 2035

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As mentioned in streams and posts often after rash moves you get a period of slow and calm.. followed by more movement.

Let the markets move

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Any longs must be mini scalp longs... otherwise relax until 1950 area

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Make sure you are out of all shorts.

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And that is why you EXIT. because prices will bounce at early PA

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So todays lesson(s) Falling to early PA with 0 sentiment leads to 'algo' type moves.

We can look to re short higher. Updates to come.

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Looking for RE shorts as we rise and as per stream.

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Exit any re shorts taken.

Light longs come far lower.

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Notice how we are trading in stages (various exits)

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Shorts Circa 2045

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NOTE the early PA zones hit (poor reaction) Via candle wicks.

This is why we short higher as margin gets tighter.

Room needed.

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Early light shorts can go in 1996

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further later shorts circa 2030 again light

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Short now

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exit shorts

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Market still pending large sentiment shift. Any pushes up remain short IN channel, same for longs circa 2005

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Exit all shorts.

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Re shorting pushes up.

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Fall well under way and out for gains. Re long 1920.