Decision time for XAUUSD (Gold) 28 June, 2021
The dust (after the FOMC statement) seems to have settled. The gains that the USD made during the week of 14 June, did not get a follow through and in fact, the USD gave back a bit last week.
As long as Gold is above 1685, I am still bullish. On the daily I also see a support zone between 1795 and 1760 and we are within this zone for the past few trading days. Zooming in on the H4 chart, we can see that the bears have been having the upper hand – the bearish candles are larger and the bears have been able to quickly recover the territory they lose to the bulls.
However, the battle for control is ongoing and we can see an ascending wedge under formation. We are making higher highs and there is a definite squeeze to the up side. If this continues, we will see the 20ema carrying price.
s3.tradingview.com/s...shots/b/BtdtDZ3P.png
Bullish scenario - Currently, $1795 seems to a line in the sand but an impulsive bullish move, a break of this barrier and strong follow through should take us to the $1859 region.
Bearish scenario - If the bears start to gain control of the market, we will see lower lows, a break below the 1760 level and an attack on the 1685 support.
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As long as Gold is above 1685, I am still bullish. On the daily I also see a support zone between 1795 and 1760 and we are within this zone for the past few trading days. Zooming in on the H4 chart, we can see that the bears have been having the upper hand – the bearish candles are larger and the bears have been able to quickly recover the territory they lose to the bulls.
However, the battle for control is ongoing and we can see an ascending wedge under formation. We are making higher highs and there is a definite squeeze to the up side. If this continues, we will see the 20ema carrying price.
s3.tradingview.com/s...shots/b/BtdtDZ3P.png
Bullish scenario - Currently, $1795 seems to a line in the sand but an impulsive bullish move, a break of this barrier and strong follow through should take us to the $1859 region.
Bearish scenario - If the bears start to gain control of the market, we will see lower lows, a break below the 1760 level and an attack on the 1685 support.
If you like my analysis, please give it a “thumbs up” and follow me to get immediate notifications.
Always use sound money and risk management in all your trades
Comment:
The bulls seem to be losing the fight, I think we will see 1685 next.