GOLD is enjoying a decent bullish run, and it might continue to trade higher in the short term. Our idea for now is to remain bullish as long as a bullish trend line on the 4-hours chart holds. However, once the price reaches a very important resistance area of $1165-70 there is a chance of it facing sellers.
There is a wave duplication pattern developing on the 4-hours chart, which might complete around $1166-70 level. In that scenario, we might consider entering a sell trade.
Technical Analysis
Buy Entry
H4– We can enter a buy trade in GOLD if it corrects lower in two waves and trades near the trend line and support area (as shown in the chart).
Target 1: $1160
Target 2: $1165
Stop Loss: Break and close below the trend line.
Sell Entry:
H4– We can enter a sell trade in GOLD once it completes the wave duplication pattern and trades near $1166-70.
Target 1: $1150
Target 2: $1135
Stop Loss: Break and close above the last high created before entering into the trade.
Video Explanation:
Yours,
Vladimir
Why Consumer Confidence Matters in Forex Trading When analyzing the Forex market, traders often pay…
When traders study the Forex market, they often focus on economic indicators such as inflation,…
The markets are showing some fascinating technical developments this week, and there are several opportunities…
When Being Right Becomes More Important Than Making Money Every Forex trader wants to make…
Why Doesn't a Strong Economy Always Have a Strong Currency? Imagine that a country reports…
Have you ever opened your trading platform, watched the market move, and felt that you…