GOLD H4 BREAKOUT / DAILY BREAKOUT UPTREND (TUESDAY/21-JAN-2025)
This chart is a technical analysis for XAU/USD (Gold vs. USD) on a 1-hour timeframe. Here’s the breakdown of the key elements and the trading idea depicted:
Break of Structure (BOS):
The chart identifies two points marked as "BOS," indicating significant breaks in market structure. This typically means the price has broken above or below key levels, signaling potential trend continuation or reversal.
Trendline Support:
A purple ascending trendline connects higher lows, serving as dynamic support. The price is expected to retest this line in the future, as per the trading plan.
Sell Entry Zone:
A red rectangular area near $2,752.44 - $2,745.82 is marked as the "Sell Entry" zone. This is the area where sellers may consider entering short positions, expecting the price to reverse downward from this resistance level.
Price Action Plan:
The red arrows suggest the anticipated price movement:
Price will approach the Sell Entry zone.
A rejection is expected, leading to a drop back to the trendline.
The price may then break below the trendline, targeting the green zone near $2,700.00 as the next area of interest or support.
Support Zones:
A green rectangle near $2,700.00-$2,698.07 is shown as a potential area of demand/support. This could act as the next target for sellers and a possible reversal area for buyers.
EMA and Moving Averages:
Green lines represent potential exponential moving averages (EMAs). These provide dynamic support/resistance and confirm the general upward trend before the anticipated reversal.
Trading Insights:
Sell Setup: Wait for the price to reach the Sell Entry zone and show rejection (e.g., bearish candlestick patterns) before entering.
Take Profit: Target the green support zone near $2,700 after the trendline break.
Stop Loss: Place the stop loss above the Sell Entry zone to limit risk in case of an unexpected bullish breakout.
Risk Considerations:
Be mindful of key economic events or news that could affect gold prices, such as central bank announcements, inflation data, or geopolitical events.
Ensure proper risk management with defined position sizes and risk-reward ratios.
⭐️Smart investment, Strong finance
⭐️GOLDEN INFORMATION:
Gold price (XAU/USD) continues to gain traction for the second consecutive day, reaching its highest level since November 6, around $2,726 during Tuesday's Asian session. Renewed trade war concerns, sparked by US President Donald Trump's suggestion of imposing tariffs on Canada and Mexico, have increased demand for the safe-haven precious metal.
Additionally, a drop in US Treasury bond yields—driven by expectations that the Federal Reserve (Fed) will implement two rate cuts this year amid signs of easing inflation—further supports the appeal of non-yielding Gold.
⭐️Personal comments Pips & Profit:
Gold price continues to increase in large frame, break 2725 and buying power is stronger
⭐️SET UP GOLD PRICE:
BUY GOLD zone: $2701 - $2703 SL $2696
TP1: $2710
TP2: $2720
TP3: $2730
BUY GOLD zone: $2717 - $2713 SL $2700
TP1: $2729
TP2: $2737
TP3: $2747
🔥SELL GOLD zone: $2740 - $2742 SL $2748
TP1: $2732
TP2: $2720
TP3: $2710
⭐️Technical analysis:
Based on technical indicators EMA 34, EMA89 and support resistance areas to set up a reasonable BUY order.
Break of Structure (BOS):
The chart identifies two points marked as "BOS," indicating significant breaks in market structure. This typically means the price has broken above or below key levels, signaling potential trend continuation or reversal.
Trendline Support:
A purple ascending trendline connects higher lows, serving as dynamic support. The price is expected to retest this line in the future, as per the trading plan.
Sell Entry Zone:
A red rectangular area near $2,752.44 - $2,745.82 is marked as the "Sell Entry" zone. This is the area where sellers may consider entering short positions, expecting the price to reverse downward from this resistance level.
Price Action Plan:
The red arrows suggest the anticipated price movement:
Price will approach the Sell Entry zone.
A rejection is expected, leading to a drop back to the trendline.
The price may then break below the trendline, targeting the green zone near $2,700.00 as the next area of interest or support.
Support Zones:
A green rectangle near $2,700.00-$2,698.07 is shown as a potential area of demand/support. This could act as the next target for sellers and a possible reversal area for buyers.
EMA and Moving Averages:
Green lines represent potential exponential moving averages (EMAs). These provide dynamic support/resistance and confirm the general upward trend before the anticipated reversal.
Trading Insights:
Sell Setup: Wait for the price to reach the Sell Entry zone and show rejection (e.g., bearish candlestick patterns) before entering.
Take Profit: Target the green support zone near $2,700 after the trendline break.
Stop Loss: Place the stop loss above the Sell Entry zone to limit risk in case of an unexpected bullish breakout.
Risk Considerations:
Be mindful of key economic events or news that could affect gold prices, such as central bank announcements, inflation data, or geopolitical events.
Ensure proper risk management with defined position sizes and risk-reward ratios.
⭐️Smart investment, Strong finance
⭐️GOLDEN INFORMATION:
Gold price (XAU/USD) continues to gain traction for the second consecutive day, reaching its highest level since November 6, around $2,726 during Tuesday's Asian session. Renewed trade war concerns, sparked by US President Donald Trump's suggestion of imposing tariffs on Canada and Mexico, have increased demand for the safe-haven precious metal.
Additionally, a drop in US Treasury bond yields—driven by expectations that the Federal Reserve (Fed) will implement two rate cuts this year amid signs of easing inflation—further supports the appeal of non-yielding Gold.
⭐️Personal comments Pips & Profit:
Gold price continues to increase in large frame, break 2725 and buying power is stronger
⭐️SET UP GOLD PRICE:
BUY GOLD zone: $2701 - $2703 SL $2696
TP1: $2710
TP2: $2720
TP3: $2730
BUY GOLD zone: $2717 - $2713 SL $2700
TP1: $2729
TP2: $2737
TP3: $2747
🔥SELL GOLD zone: $2740 - $2742 SL $2748
TP1: $2732
TP2: $2720
TP3: $2710
⭐️Technical analysis:
Based on technical indicators EMA 34, EMA89 and support resistance areas to set up a reasonable BUY order.
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