Gold has shown strong bullish momentum over the last two weeks, as indicated by the steep upward progression marked by the blue trendline. Price action has respected this ascending trendline, bouncing multiple times from it, which confirms its reliability as a dynamic support level.
Trendlines
Trade Setup
A long (buy) position appears to be in play, with:
o Entry near: $3,464.66
o Target: $3,590.01 (TP1) – a projected move of +125.35 points or +3.62%
o Stop Loss: $3,412.07 – a risk of 52.59 points or -1.52%
o Risk-Reward Ratio: 2.38 to 1, favoring the bulls.
Key Observations
The 4-hour Gold chart shows a strong bullish structure with a clean upward trend. As long as price stays above the blue trendline and holds above $3,464, the bias remains bullish. A break below $3,412 would invalidate this setup and may indicate a trend reversal or deeper pullback.
Trendlines
- Primary Uptrend Line (Blue): The steep upward trendline shows a consistent bullish pattern, with higher highs and higher lows. The angle of ascent is approximately 37°, indicating strong momentum.
- Resistance Zone (Red Lines): The red trendlines outline a potential ascending channel or a wedge pattern. Gold has recently broken above this zone, signaling a possible bullish breakout.
Trade Setup
A long (buy) position appears to be in play, with:
o Entry near: $3,464.66
o Target: $3,590.01 (TP1) – a projected move of +125.35 points or +3.62%
o Stop Loss: $3,412.07 – a risk of 52.59 points or -1.52%
o Risk-Reward Ratio: 2.38 to 1, favoring the bulls.
Key Observations
- Green Arrows indicate bullish entry signals, likely from price rejecting the blue trendline with strong bullish candles.
- Volume/Strength: Although not shown, the consistency of upward moves suggests strong buyer interest and momentum.
- Recent Breakout: The recent candle has broken above both the red resistance trendline and the previous high, which could lead to further bullish continuation.
The 4-hour Gold chart shows a strong bullish structure with a clean upward trend. As long as price stays above the blue trendline and holds above $3,464, the bias remains bullish. A break below $3,412 would invalidate this setup and may indicate a trend reversal or deeper pullback.
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Disclaimer
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Trade forex, indices, stocks and metals with up to US$100.000 in company's funding.
Complete a challenge to access funding or go for instant deposit.
Trading involves substantial risk. Not financial advice
Complete a challenge to access funding or go for instant deposit.
Trading involves substantial risk. Not financial advice
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.