Currently, gold is finding support around 1985 on the 4-hour chart. This level not only represents the 38.2% Fibonacci retracement of the current trend, but also coincides with the 60-period moving average on the 4-hour chart.
If gold breaks below the 1985 support level, it is likely to test the 1965-60 range as the next support zone. This range is also where the 20-day moving average on the daily chart is located and is the last line of defense for the bulls.
If gold breaches this level, it will signal a new daily low and may test the previous low of 1935.
From a trading perspective, short positions are favoured. The key resistance level to watch is around 2000-2005. Traders could enter a short position at the current level with a stop loss above 2010. The first profit target is set at 1985, followed by 1965 and 1960.
2000-2005 interval sell, stop loss 2010
TP1:1985
TP2:1965
TP3:1960
If gold breaks below the 1985 support level, it is likely to test the 1965-60 range as the next support zone. This range is also where the 20-day moving average on the daily chart is located and is the last line of defense for the bulls.
If gold breaches this level, it will signal a new daily low and may test the previous low of 1935.
From a trading perspective, short positions are favoured. The key resistance level to watch is around 2000-2005. Traders could enter a short position at the current level with a stop loss above 2010. The first profit target is set at 1985, followed by 1965 and 1960.
2000-2005 interval sell, stop loss 2010
TP1:1985
TP2:1965
TP3:1960
Trade active:
XAUUSD: 2000 sell
Trade closed: target reached:
Trade closed: target reached:
XAUUSD: successfully reached TP1: 1985
XAUUSD: successfully reached TP1: 1985
Trade closed: target reached
