After a very negative NFP for Gold, price has been dropped to an incredibly desirable area to add long positions. If we take a look at the trend line I have drawn on the 1W timeframe, we can clearly see that in the bigger picture, the trend is still bullish, and has been for some time. I do expect a surge of buying volume next week and I have a lot of optimism that we will return to $1800, this is a psychological price and an important one. Therefore, just before market close yesterday, I added a handful of long positions with an ultimate target of $1800. I have my SL placed just below the D1 major area of demand ($1850), a rather wide SL compared to my usual, but if all goes to plan, I still maintain a R:R of 1:3.63. Let's see how this one plays out next week, I am already around +20 pips in profit.
Comment:
SL at $1750*