The market is currently in a consolidation phase following a prior downtrend, with lower highs (LH) and lower lows (LL) dominating recent price action. Gold is trading within a rising wedge formation, signaling potential indecision. Key levels to monitor are:
- Supply Zone: $2,720–$2,730 (strong resistance area)
- Demand Zones: $2,690, $2,670, and lower (support clusters)
Projection
Bearish Continuation: A breakdown below the wedge and demand zones could trigger a continuation of the downtrend, targeting levels below $2,670.
Bullish Reversal: A breakout above $2,720, followed by a retest, may indicate a reversal, targeting higher resistance levels.
Trade Idea
Bearish Bias: Watch for a decisive break below the wedge, aligning with the dominant downtrend, to consider short opportunities.
Bullish Alternative: If price breaks and holds above the $2,720 supply zone, look for potential long setups.
Patience is essential here, as the market is at a critical juncture. Always use proper risk management by aligning entries with key levels and clear invalidation points.
- Supply Zone: $2,720–$2,730 (strong resistance area)
- Demand Zones: $2,690, $2,670, and lower (support clusters)
Projection
Bearish Continuation: A breakdown below the wedge and demand zones could trigger a continuation of the downtrend, targeting levels below $2,670.
Bullish Reversal: A breakout above $2,720, followed by a retest, may indicate a reversal, targeting higher resistance levels.
Trade Idea
Bearish Bias: Watch for a decisive break below the wedge, aligning with the dominant downtrend, to consider short opportunities.
Bullish Alternative: If price breaks and holds above the $2,720 supply zone, look for potential long setups.
Patience is essential here, as the market is at a critical juncture. Always use proper risk management by aligning entries with key levels and clear invalidation points.
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.
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.