Market has just broken below the trendline. If it can close below this trendline, it is highly probable that price will continue to fall towards 1260 and potentially 1240. If it bounces back up and close within the mother candle on 28 Aug, the probability will be towards higher prices, potentially re-testing 1320 level and 1340 level.
Note that there is also a potential bullish Gartley pattern forming with potential completion around 1262. (This idea is from hungvutrader)
As noted on the chart, I'm currently short on gold. If the latter scenario above occurs, I will not want my short position anymore and potentially flip it to long. If this market continues to fall, complete the Gartley pattern and reverse, I will also get out of my short position. Otherwise, I will hold until my target.
Note that there is also a potential bullish Gartley pattern forming with potential completion around 1262. (This idea is from hungvutrader)
As noted on the chart, I'm currently short on gold. If the latter scenario above occurs, I will not want my short position anymore and potentially flip it to long. If this market continues to fall, complete the Gartley pattern and reverse, I will also get out of my short position. Otherwise, I will hold until my target.