First,lets take a look at gold price action. We can see that price currently reaching 2 resistance level: Trend Resistance and Resistance Level @1896. Overall, Gold has respected this trend support and resistance greatly as it climbs up further. We saw it breaking the first trend resistance (dotted line) and now closing up near the 1890-1900 price level.
So what should we do now?
I will be respecting this resistance level as of now and I will not have any bias towards this BULLISH movement and predict a breakthrough. Ask yourself if you will have more risk entering a buy or sell position here? To me, there is more risk for people looking to buy gold at this level. We should be looking to sell this pair and adapt to necessary changes if we see a breakout by buying the potential retest. Gold has been respecting this upward movement and I see BEARISH strength taking over. HAving said that, you should always be on a look out for potential breakout signal and adapt accordingly. From a fibonacci point of view, 50.0 fib level will be level I will short to. Trade Smart and Trade Safe.
Kindly hit the LIKE Button if you agree with my analysis and feel free to COMMENT your idea below. As for those who are keen to get daily updates and analysis from me feel free to FOLLOW me. Cheers and Happy Trading!!!
So what should we do now?
I will be respecting this resistance level as of now and I will not have any bias towards this BULLISH movement and predict a breakthrough. Ask yourself if you will have more risk entering a buy or sell position here? To me, there is more risk for people looking to buy gold at this level. We should be looking to sell this pair and adapt to necessary changes if we see a breakout by buying the potential retest. Gold has been respecting this upward movement and I see BEARISH strength taking over. HAving said that, you should always be on a look out for potential breakout signal and adapt accordingly. From a fibonacci point of view, 50.0 fib level will be level I will short to. Trade Smart and Trade Safe.
Kindly hit the LIKE Button if you agree with my analysis and feel free to COMMENT your idea below. As for those who are keen to get daily updates and analysis from me feel free to FOLLOW me. Cheers and Happy Trading!!!