In last weeks KOG Report we said we wanted to see the price stay below the 1775 level and we would only be adding to our shorts looking for the price to reach or target levels below. Well done to all the traders who followed, we've been shorting all the way down from 1805 straight into the liquidity zone below.
What can we expect this week?
As we suggested earlier in the week, we wanted to see the price retrace back up towards that 1750 level and look for a reaction. We can see that we broke that level to the upside and now that level could turn into a support level. We're still bearish on Gold but there is potential for the price to support at the said level and attempt to target the 1785 level again. We still feel there is room to go lower so again we will only be looking for resistance levels to short the market, we want to see it test that low again and attempt to break it! This is all dependent on that 1785 level again and the price staying below that.
We've added the hourly chart below. This highlights the potential move we can expect on Monday. Any short trades above and it could be an idea to take partial profits and protect the trade around the 1750-45 region.
Break over 1765 would need some doing in my opinion but definitely see 1777 ahead of NFP. Plenty of scalping opportunities in the week ahead of 1765 and 1750 levels play out.