Gold - Breaking on the upside?

FX:XAUUSD   Gold Spot / U.S. Dollar
Few more signals emerged since my last post ( pls see link below), which suggest Gold finally may finish consolidation and reverse to bullish . Still a question if it breaks the shorter term bearish trend channel ard 1220, but the probability for that is increasing.

- After resisting the lower key level at 1170 with a Hammer three days ago, Price is breaking above the Kumo and testing again the upper horizontal line
- Medium strong Tenkan/Kijun bullish cross
- Bullish Senkou A/B cross (Future Kumo twist)
- Bullish MACD cross with positive divergence
- DMI bullish cross, but ADX is still very low, needs confirmation

The real test is 1220 at bearish trend channel. However it looks like Gold may become a medium term strategic long soon, thus a buy on dips strategy is recommended to follow.

4 Hrs:
- Bullish Kumo breakout with higher high + Chikou Span confirmation with moving above Kumo
- Meadium strong Tenkan/Kijun bullish cross
- DMI bullish cross, but ADX is still very low, needs to come higher to confirm the trend reversal
- Slow Stoch is overbought, so we may see some pause ard 1215-1220 and a pull back from there. In this case either 1195-1200 will likely be a good retracement area to enter long, or if Price can not come as low, then simply buy with next Slow Stoch bullish signal.


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