The combination of 3 different Fibonacci retracements brings me to the conclusion that the gold market remains bullish, with a short-term bearish correction in the immediate future. Allow me to explain:
If you take a look at the first retracement from early June (in blue), you will notice that the breakout occured in the golden ratio region, & went way beyond the 0% level: A classic example of a Fibonacci retracement in a bullish market.
The second retracement (in orange) is drawn from the breakout point of the previous retracement, up to the resistance level at 0%. Following the correction back to the 50%-61.8% region, the bullish movement continued, however was not strong enough to go beyond the orange 0% level, which brings us to the 3rd retracement in green:
Based on the previous 2 retracements, it is possible that we will have a short-term correction again down to the 50%-61.8% (marked with the red arrow), only to have the 3rd breakthrough (blue arrow), which is supposed to go beyond the orange 0%.
Please note the parallel positioning of all 3 trend lines in comparison to each other, which underlines the continuous of the upward trend.
I will be happy to find out what you think about this. Please let me know.
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I am very glad about the outcome of this strategy so far. The correction target has been achieved as predicted. Now I am expecting the long triggers to show gradually, & will update the page accordingly. Cheers!