Description
⋅ I'm back with another 5-0 pattern but this time on the 4h timeframe with XAU/USD.
The measurements for a valid 5-0 pattern are detailed below.
B: 1.13 - 1.618
C: 1.618 - 2.24
D: 0.50
Excellent trading opportunity with over 1:3 risk to reward.
The D point seems to be a good area of support to go long as shown below.
Wait until price reaches $1300 before acting upon the analysis, as always I will be analysing this pair further before entry. Comment
⋅ Quick update on Gold, price is quickly approaching the PRZ and I'll be looking to go long once I can confirm the move.
The area around $1300 is a good area of support and has proved to be a central point in the market which price returns to over the past 3 years. Comment
⋅ Update on the 1h chart, this is what I see happening, pay attention to this chart for a reversal at $1300.
Comment
⋅ Here is an updated view on what is happening on the 1h chart.
Price is respecting the resistance trendline right now and trading within a rising wedge, expecting further downside to complete the pattern at $1300.