XAUUSD Gold : Are prices falling? Or great buy entry? 2.5
Simplicity is king.
Gold dropped $140 in just ~2 weeks.
What is the fundamental excuse? Hints of May rate hikes by the FED. Is this new? Nope.
Let's make a quick note - *Buy lows , sell highs is basic.
Gold rallied by $300 between Jan to March 2022 with the markets well aware of rate hikes coming.
So what pushed the $300 rally? A critical breakout above a descending trend-line stretching all the way back to August 2020.
What didn't happen after the rally? A correction down, which is what we are seeing on price action in the last 2 weeks.
But the question is , in what technical pattern is the Gold price falling?
What we can see is consolidating highs and lows in the shape of a wedge slopping down.
That's a falling wedge pattern, which is a bullish continuation pattern which usually ends in a breakout up, in our case, price to break is 1912-1915 which would allow a new ATH as target as yearly trend constitutes.
Another technical highlight is the higher high, ascending trend-line going all the way back to 2018-2019, indicating a solid weekly/yearly up-trend that has been consistent since the trade war between China and the USA began, even before Covid.
On the fundamental side we have eco slow down, supply issues, inflation, Covid, war - Need I say more as benefit for bullish precious metals?
**it's important to emphasize that this is a swing/longer term buy idea, in the short-term if Gold breaks below 1858-60 with a daily close , it may continue to 1820-1830 weekly/yearly trend-line test, in the odd case that level breaks 1750-80 would be possible as cortical yearly horizontal support**
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Thank you so much for reading! If you liked my idea, please like and follow, it would truly mean a lot to me.
I'm here for any questions, comments - I'll be more than happy to respond to each and every one of you.
Working on a telegram channel and website which would be coming soon and the goal is to help as many of you as possible perfect your trading.
----------------------------------------------------------------------------------------------------------------------------------------------------
Gold dropped $140 in just ~2 weeks.
What is the fundamental excuse? Hints of May rate hikes by the FED. Is this new? Nope.
Let's make a quick note - *Buy lows , sell highs is basic.
Gold rallied by $300 between Jan to March 2022 with the markets well aware of rate hikes coming.
So what pushed the $300 rally? A critical breakout above a descending trend-line stretching all the way back to August 2020.
What didn't happen after the rally? A correction down, which is what we are seeing on price action in the last 2 weeks.
But the question is , in what technical pattern is the Gold price falling?
What we can see is consolidating highs and lows in the shape of a wedge slopping down.
That's a falling wedge pattern, which is a bullish continuation pattern which usually ends in a breakout up, in our case, price to break is 1912-1915 which would allow a new ATH as target as yearly trend constitutes.
Another technical highlight is the higher high, ascending trend-line going all the way back to 2018-2019, indicating a solid weekly/yearly up-trend that has been consistent since the trade war between China and the USA began, even before Covid.
On the fundamental side we have eco slow down, supply issues, inflation, Covid, war - Need I say more as benefit for bullish precious metals?
**it's important to emphasize that this is a swing/longer term buy idea, in the short-term if Gold breaks below 1858-60 with a daily close , it may continue to 1820-1830 weekly/yearly trend-line test, in the odd case that level breaks 1750-80 would be possible as cortical yearly horizontal support**
---------------------------------------------------------------------------------------------------------------------------------------------------
Thank you so much for reading! If you liked my idea, please like and follow, it would truly mean a lot to me.
I'm here for any questions, comments - I'll be more than happy to respond to each and every one of you.
Working on a telegram channel and website which would be coming soon and the goal is to help as many of you as possible perfect your trading.
----------------------------------------------------------------------------------------------------------------------------------------------------
Trade active:
Gold is marching fast toward the 1912-1915 level to break!
We are only $25 away from the target and today's Jobless claims report may be the trigger necessary
We are only $25 away from the target and today's Jobless claims report may be the trigger necessary
Trade active:
Break lower than 1820-30 support is now projecting 1750-80 to be possible as the low point of the year!
