Gold Long Term and Short Term
Gold Analysis and Trading Plan
Gold prices saw mixed movement yesterday, gaining 0.50% and trading around $2,648. Market dynamics were driven by solid US economic data, improved services sector activity, and President-elect Donald Trump’s remarks, which boosted the US Dollar and capped Gold's rise.
Key Developments:
Technical Analysis:
*Gold is consolidating within a symmetrical triangle pattern, with a bullish breakout signaling a continuation of the uptrend.
Key Levels:
Resistance: $2,665 (double top), $2,675, $2,700
Support: $2,624 (near-term), $2,612 (lower range of the triangle), $2,580
Trading Plan:
Breakout Strategy:
*If Gold breaks above $2,665, it may target $2,700 and higher levels.
*On a downside breakout below $2,612, watch for a move toward $2,580.
NFP Impact:
*The NFP report on Friday could drive significant volatility and provide clarity for the breakout direction. Use it to refine your entries.
Risk Management Disclaimer:
Trading involves significant risk. Use proper position sizing, place stop losses to manage risk, and ensure trades align with your overall strategy. Past performance is not indicative of future results.
Follow for more Market analysis or if you want to learn more about the markets!
Gold prices saw mixed movement yesterday, gaining 0.50% and trading around $2,648. Market dynamics were driven by solid US economic data, improved services sector activity, and President-elect Donald Trump’s remarks, which boosted the US Dollar and capped Gold's rise.
Key Developments:
- Strong US jobs data and increased business activity in services reduced expectations for further Fed rate cuts.
- China’s central bank increased Gold reserves for the second consecutive month, supporting bullish sentiment.
- US Treasury yields remain elevated, bolstering the Greenback.
- Upcoming Nonfarm Payrolls (NFP) will likely provide the next major catalyst for Gold's movement.
Technical Analysis:
- Short-term:
- Gold is forming a double top pattern around the $2,665 resistance level. A rejection here could indicate potential downside.
- Long-term:
*Gold is consolidating within a symmetrical triangle pattern, with a bullish breakout signaling a continuation of the uptrend.
Key Levels:
Resistance: $2,665 (double top), $2,675, $2,700
Support: $2,624 (near-term), $2,612 (lower range of the triangle), $2,580
Trading Plan:
Breakout Strategy:
*If Gold breaks above $2,665, it may target $2,700 and higher levels.
*On a downside breakout below $2,612, watch for a move toward $2,580.
NFP Impact:
*The NFP report on Friday could drive significant volatility and provide clarity for the breakout direction. Use it to refine your entries.
Risk Management Disclaimer:
Trading involves significant risk. Use proper position sizing, place stop losses to manage risk, and ensure trades align with your overall strategy. Past performance is not indicative of future results.
Follow for more Market analysis or if you want to learn more about the markets!
Disclaimer
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