Gold is been bullish for 2 months now.
On the daily chart, we see RSI showing overbought. We might see the price to relief.
On 4 hourly chart, RSI showing nice divergence while the price is forming a triangle pattern that indicates the price is coiling up.
It can move in any direction after a breakout. We don't care though.
IF the price goes up then great, we'll keep eye on it for further opportunities.
IF the price breaks down then there are two high probability zones to buy.
The first zone is at 1845 area. We have structure and trendline (a great combination).
Additionally, we've Fibo 61.8% and 38.2% confluence (from C and D lows to the recent high).
And the second zone is at round number 1800. Here we have strong support (or swing zone).
Also, all Fibo ratios (38.2%, 0.50%, 61.8%) perfectly lined up at that zone.
My second trendline is very subjective. This is how I see the gold right now. So bear it in mind.
I guess that is all.
Thank you and good luck in the markets!
On the daily chart, we see RSI showing overbought. We might see the price to relief.
On 4 hourly chart, RSI showing nice divergence while the price is forming a triangle pattern that indicates the price is coiling up.
It can move in any direction after a breakout. We don't care though.
IF the price goes up then great, we'll keep eye on it for further opportunities.
IF the price breaks down then there are two high probability zones to buy.
The first zone is at 1845 area. We have structure and trendline (a great combination).
Additionally, we've Fibo 61.8% and 38.2% confluence (from C and D lows to the recent high).
And the second zone is at round number 1800. Here we have strong support (or swing zone).
Also, all Fibo ratios (38.2%, 0.50%, 61.8%) perfectly lined up at that zone.
My second trendline is very subjective. This is how I see the gold right now. So bear it in mind.
I guess that is all.
Thank you and good luck in the markets!