XAU/USD: CAUGHT IN A LOOP
I have been avoiding gold for a few days now because of the choppy market conditions and just the uncertainty in the gold market. However, i see a potential development brewing for some nice gains over the next few hours.
Lets get into the analysis shall we:
Price action was showing bearish sentiment for the last 24 - 36HRS but the conditions were extremely choppy; we are finally getting some clarity on the market as my downtrend channel was broken by price action on the top end. At this moment it is currently apparent that gold is attempting to bounce off the top of that channel to return back to the 2680s.
Confluences which support a bullish move:
- Long lower wicks on candles on 30M chart
- Broken downtrend channel through the top
- Higher highs marked in orange
- Price is trading above 50 SMA
- Tensions overseas (outside of US) cause gold to be desired as safe haven for investors
Proceed with caution with this trade, it is only meant for London session with my max time out for any trades i may take on gold to 5:55AM, as we do have a news release for ISM services PMI. Until then I am considering a long scalp to ride to the 2680s.
Be patient, be sure, and be confident in your analysis
Support and boost this idea so i know to make more for you family
Lets get into the analysis shall we:
Price action was showing bearish sentiment for the last 24 - 36HRS but the conditions were extremely choppy; we are finally getting some clarity on the market as my downtrend channel was broken by price action on the top end. At this moment it is currently apparent that gold is attempting to bounce off the top of that channel to return back to the 2680s.
Confluences which support a bullish move:
- Long lower wicks on candles on 30M chart
- Broken downtrend channel through the top
- Higher highs marked in orange
- Price is trading above 50 SMA
- Tensions overseas (outside of US) cause gold to be desired as safe haven for investors
Proceed with caution with this trade, it is only meant for London session with my max time out for any trades i may take on gold to 5:55AM, as we do have a news release for ISM services PMI. Until then I am considering a long scalp to ride to the 2680s.
Be patient, be sure, and be confident in your analysis
Support and boost this idea so i know to make more for you family
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