XAUUSD was one of my winners last week with successful bearish harmonic pattern traded from 1260$ to 1230$. Now a bearish Head and Shoulders was formed with a neck line that is also the bottom of a trading channel. The price closed below the 50 SMA line and barely above the Fast SMA line. 1225$ - Key support zone
Bearish scenario - Breakdown and continuation towards 1200$ and 1180$ Bullish scenario - Neck line holds as support and XAUUSD runs towards top of trading channel - 1300$
Tomer Jakov, The MarketZone (@themarketzone) This analysis is part of the Weekly Markets Analysis newsletters To read more interesting technical reviews for the week- goo.gl/Jfnwob To subscribe to the newsletters - goo.gl/JfOLoR