XAUUSD - the year 2021 did not start well.
I believe that bitcoin has taken most of the traditional glitter associated with gold. While gaining more and more acceptance and recognition, btc continues to make new highs each week. On the other hand, the consolidation in gold still continues. The shaded area shows the price action in 2021, that started with a strong impulsive bearish move and side ways movement thereafter.
The question on most traders mind is where will this pair find its bottom? The most optimistic view would be 1817 with 1800 and 1765 down below being more likely. IMO, the big support at 1700 is unlikely to be called into play here.
As for the upside, we would need to clear 1875 on a daily closing basis to give me enough confidence to go long.
It seems that the bulls will need to wait on the sidelines until more clarity emerges.
If you like my analysis please give it a “thumbs up” and follow me to get immediate notifications.
As always, please use sound money and risk management in all your trades.
The question on most traders mind is where will this pair find its bottom? The most optimistic view would be 1817 with 1800 and 1765 down below being more likely. IMO, the big support at 1700 is unlikely to be called into play here.
As for the upside, we would need to clear 1875 on a daily closing basis to give me enough confidence to go long.
It seems that the bulls will need to wait on the sidelines until more clarity emerges.
If you like my analysis please give it a “thumbs up” and follow me to get immediate notifications.
As always, please use sound money and risk management in all your trades.