goldenBear88

My set of Sell orders activated / Selling sequence ahead

Short
OANDA:XAUUSD   Gold Spot / U.S. Dollar
Gold is still consolidating just below the session Top (Higher Low trendline) of the Hourly 1 Bollinger Bands. #1,900.80 is an ultimate Top at the moment since, acting as an strong Resistance - rejected the Price-action on multiple occasions. Monitoring the Price-action almost all E.U. session, I expected Bearish sentiment but stagnation took the main stage and the idle session that I am witnessing is an product of it. Gold is surely Bearish on Medium-term as #1,800.80 new #4 Month Low is on the cards, but on the other hand - I cannot rule out the strong correction (identical as on June #29) with #1,900.80 as an possible turning point. The Stock markets are still consolidating instead of rising on hopes of this better macroeconomic outlook. In essence the one works as counter to the other, hence Gold stays ranged still near the top of the Bollinger Bands on Hourly 1 chart. This gives me the impression that Gold is more tied to the Stock index movements at the moment, so I will Trade accordingly and take it into consideration. The slightest Bullish reversal on DX should add Selling pressure on Gold. Strong September #1 - #5 Resistance once again rejected the Price-action after #MA50 Hourly 4 chart semi-test. Despite the fact that DX is on the rise, Gold opened the E.U. session on a Bullish fashion after the Stock markets retraced a bit, but Selling momentum was postponed and Gold bought back the dip. This is most likely speculative positioning ahead of next week’s Fundamentals. As I mentioned on the last analysis, I expect my Target to be met soon since Stock markets cannot be on Low’s that long. At the moment DX is outperforming Gold indicating that I can spot Bearish bias mainly on 2 reasons: #1) hitting the #4 Month Resistance and #2) deflating as the geopolitical tensions escalate and the capital that was parked on Gold is now being relocated to riskier assets. I remain confident that the cyclical downside has potential to hit #1,750.80 in the coming #1 - #2 Months. Regarding Short-term, I am ready to pursue lower Targets and #1,840.80 extension (probably will close near #1,848.80 or #1,852.80) with my set of Sell orders.

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