Gold had a daily chart break and is now retesting the breakout zone. However since the breakout was quite strong we would want to see follow through relatively soon, not doing nothing for 7 days after the break.
On the 4 hour chart, we see a different picture.
We see long wicks at a 4 hour support/flip zone of around 1450. From here we saw the lower highs losing steam and creating what appeared to be a head and shoulders pattern, however we did not get a strong break of the zone I was watching.
Now the trade looks more interesting with what appears to be a cup and handle break and higher highs.
Would watch the 1490-1500 zone for profits on a trade and see how price reacts. Again, if you follow my work, I am precious metal bullish.
Silver also showing a reversal pattern. Not the best looking cup and handle but the structure is there.
The break above 17.10 zone has occurred now and we have a higher low to work with.
First target is the 17.60 zone.
On the 4 hour chart, we see a different picture.
We see long wicks at a 4 hour support/flip zone of around 1450. From here we saw the lower highs losing steam and creating what appeared to be a head and shoulders pattern, however we did not get a strong break of the zone I was watching.
Now the trade looks more interesting with what appears to be a cup and handle break and higher highs.
Would watch the 1490-1500 zone for profits on a trade and see how price reacts. Again, if you follow my work, I am precious metal bullish.
Silver also showing a reversal pattern. Not the best looking cup and handle but the structure is there.
The break above 17.10 zone has occurred now and we have a higher low to work with.
First target is the 17.60 zone.
