How are we doing after this weekend?
What we can clearly see on the 4 hour chart is that there has been a breakout on the previously reported “Broadening Bottom” pattern… it has fully hit the price target of the breakout on the downside, and the bulls have managed to bring the price back into the pattern within a fairly short period of time. It is desirable that...
Currently, I see a potential Bearish "Megaphone" pattern or potential Bearish Broadening wedge. Short-term bearish assumptions for the gold price are the potential targets 1, 2, and 3; that's the strongest support.
Technical analysis
Plan A:
If the price can break out and close below the potential target 3, I reckon XAU/USD will keep falling to retest the...
Technical analysis
Plan 1:
If the price can break out and close below the potential target 3, Then XAU/USD will keep falling to retest the bottom wedge line.
Plan 2:
If the price rejects the potential targets 1, 2, or 3, I believe gold will go up to retest the upper broadening wedge line and most likely the upper major channel line.
Invalid if:
If the price can...
IF We see good bounce from here some things I'm seeing are:
$ Bullish divergences:
4, 6, 12 and Daily Time Frame (Need to reverse though to confirm the upswing on RSI)
$ Descending broadening bottom pattern
$ Hit the 50% retrace for overall 6440-10400 FIB on log
$ 1 HR cooked at 8-10 very historic low
Thought I'd finally share my thoughts on Bitcoin. It looks like a megaphone pattern is forming, specifically a broadening bottom.
These patterns are explained in detail by Bulkowski for those that are interested: thepatternsite.com
Suffices to say they are not reliable bottoms at all. They can break up, but they also demonstrate a high failure rate.
A good...
