XAUUSD Trade Idea(s) - Based off of Gold, TBond, Dollar Futures
Looking at couple of options for Gold if the upward trend continues or we have a shift in momentum. I am leaning more towards momentum shifting as a result of what TBONDs and Gold Futures are doing. Both Daily Candles are Bearish and volume supports this bearish momentum. I do look at this as a cycle happening in both of these though based on where we are sitting at with the RSI and the MACD. If the UPWARD boundaries of these are broken into Bearish territory I am going to take this as a double confirmation that the Bears are in control.
Looking at the Dollar Future the Daily Candle is Bullish but it currently what is known as a "hanging man" candle (not closed yet to confirm if it stays this way) at previous support (look left). The RSI is showing oversold and the MACD is still in Bearish territory. I see both Gold and the Dollar as "weak" and the question is which one is the weaker of the two? You see the Yen and Swiss Franc with some clear upward momentum and if they continue to play out this way Gold bullish will be the way to trade. If these "safe haven" currencies weaken then you can see the Gold bearish opportunity come into play. Right now political sentiment is keeping the dollar at bay.
Looking at the Dollar Future the Daily Candle is Bullish but it currently what is known as a "hanging man" candle (not closed yet to confirm if it stays this way) at previous support (look left). The RSI is showing oversold and the MACD is still in Bearish territory. I see both Gold and the Dollar as "weak" and the question is which one is the weaker of the two? You see the Yen and Swiss Franc with some clear upward momentum and if they continue to play out this way Gold bullish will be the way to trade. If these "safe haven" currencies weaken then you can see the Gold bearish opportunity come into play. Right now political sentiment is keeping the dollar at bay.