💡 XAUUSD: Analysis May 23
Updated
Gold had a strong decline yesterday, creating bar D1 with a wide range and closing close to the bottom, showing strong selling pressure during the day. This down day officially closed below bar D1, creating a bearish pinbar that formed a false break above, thus confirming this false break. This is a technical factor that can cause Gold D1 to slow down and keep moving sideways but not increasing again. Gold D1's chart structure is currently cumulative in the price range, with the main tendency to increase. Gold falling and closing below the round number of 2,400 is also a technical factor for weakness.
The downtrend for H1 Gold has formed after a strong price decline and the recent establishment of a new low price bottom. Both bearish momentum and structure support the idea of waiting to sell for H1 Gold today, supported by price action confirming a false break at D1. The selling zone for Gold H1 today will be the confluence of the round number 2,400 above. Because Gold is currently touching support and breaking out of the lower border, showing the possibility of being oversold, selling to the bottom will no longer be a priority.
💡 H1 trend: Gold decreases.
Today trading idea: Sell Gold.
The downtrend for H1 Gold has formed after a strong price decline and the recent establishment of a new low price bottom. Both bearish momentum and structure support the idea of waiting to sell for H1 Gold today, supported by price action confirming a false break at D1. The selling zone for Gold H1 today will be the confluence of the round number 2,400 above. Because Gold is currently touching support and breaking out of the lower border, showing the possibility of being oversold, selling to the bottom will no longer be a priority.
💡 H1 trend: Gold decreases.
Today trading idea: Sell Gold.
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