Above we have my idea around gold and the possibilities of a short opportunity.
We have seen gold trading above it's equilibrium, having followed the DXY and in what is considered a low demand period. We have a possible rising wedge pattern forming as well as a strong order block shown by the increase in volume on the right hand side.
We are also trading higher but making a lower pivot on RSI showing a possible divergence on the 4H chart which is known to be a strong indicator of a possible reversal, especially on this higher timeframe. COT showed majority retail traders short from 40-45, with this liquidity grab we could now see the bias of Commercial Traders swing to short from this key level.
This level is also testing the trendline on the daily chart:
I have shown my thoughts around a 1:10 and 1:5 risk to reward. Risking 1% for a 10% or 5% reward / 10% for 100% or 50%.
Key Fundamental Drivers:
Rates - Wednesday 26th Jan @ 19h00 GMT Fed Press Conference - Wednesday 26th Jan @ 19h30 GMT GDP - Thursday 27th Jan @ 13h30 GMT
Nice one, is that SL going to be enough during the news? Nice entry though. Here's our video update
Spine72
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Awesome TA as always thank you....
Super_B_XinR
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Thank you for sharing
NasBaz
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Had a very similar markup, my limits are a bit tighter at $1863
UnknownUnicorn493766
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Splendid
hamidreza_FX
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Great
Vysera
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Effort vs Result PA will be a nightmare tomorrow ...
Username_for_trading
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@ElemarVysera yeah I am still keeping my eye on Wyckoff - I feel I missed the accumulation which is clear to see now from 1750 where spring was had - PnF count gives 1862 as our final point too.