Gold's general commentary: Gold was close once again to the important #1,800.80 - #1,810.80 traditional consolidation belt on Hourly 4 chart (where Short-term Support and Resistances align), Xau-Usd Spot prices my focus as always - as all correlating instruments show a Bearish sentiment to Gold (even though that Hourly’s changed from Neutral from Bearish). I spotted space for mini-Bearish leg, and by my calculations, it is near completion (done so throughout yesterday's session). #1,803.80 was Hourly 4 Support and if broken, that is much needed Selling confirmation and my configuration is valid as Gold will be trending downwards - as Buying scenario has slim chances to develop with Yield’s on recovery candles. I am looking closely at today’s session U.S. data to follow Gold’s movement. If Gold would spike down or Trade sideways around the Support for #1 - #2 sessions, then I may decide to add few Selling orders. Bearish continuation is only possible if #1,791.80 breaks.
Technical analysis: Very flat / Bearish Trading numbers since late E.U. session, ranged on the Hourly 1 chart within roughly #1,796.80 - #1,812.80 which are the optimal breakout zones regarding Short-term. As long as it lasts, this makes an basic Rectangle Trading without any major changes, even though that Yields were Trading above the Daily chart Resistance for more than #2 sessions. The Medium-trend remains fully Bearish but lately Technicals are easily distorted by Fundamental announcements, which are adding strong uncertainty on Bond Yields - directly affecting Gold, but much expected decline didn’t occurred as Gold speculators were defending Lower levels, preventing more serious decline as Gold is showing High durability. This is not fair Technical value of Gold nor an proper trend so I am forced to wait more and how market speculators will digest the NFP announcement, as side Swings are the new norm. Gold is strongly correlated with Bond Yields, but always-changing trend on DX (constantly on High impact news) makes Gold (for now) difficult asset to Trade on regarding retail Trading. Gold was Trading on decent H&S formation, and if current fractal is yet to be repeated, typical Target of Technical necessity for a Higher Low test includes #1,796.80 and #1,778.80 in extension. Regarding NFP: expect #10 - #15 point side Swings along with the announcement, as Resistance break can easily shift to an decent fakeout, same applies to eventual Support breaks, but this time, Fundamentals will not encourage Buyers. Regardless, with Yields retracing and huge Volatility ahead, I engaged my Selling order.
My position: I have engaged my Selling order on #1,803.80, calling for #1,778.80 extension. I will move my Stop-loss in Profit if #1,791.80 breaks. On the other hand, I will use this chance to congratulate Traders who Sold at the Top #2 sessions ago, was an indeed excellent move since Buying was limited (#20 point spread).
I have been keeping my selling positions with faith for weeks (and in red), also because of your mid-term analysis supporting the downtrend of gold ! and we succeeded in achieving our deserved profit ! thank you and keep advising ;)
goldenBear88
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@giuseppe2317, Many thanks for your input Giuseppe! It is indeed a pleasure to understand that serious Investor such as yourself saw value in my content!
KingLeema
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Excellent analyses. I agree with you on this. Also Sold Gold @1804 as I saw a breakout coming at that level. Also waiting for gold to break level 1790 & if that happens and we surpass level 1784. I will be holding Gold to reach area 1764. Tp set between 1773 & 1764.