Gold had plummeted for the 3rd day in a row, sliding from the peak of the range, as the upswing for Gold was already mature and developing for more than 46 days without any meaningful correction. So, the correction was anticipated. The spike of the US dollar after GDP publication had brought some logic to the price action (as DXY can’t correlate with stocks and commodities for a long time), and now the market regime gravitates to the risk-off.
Gold has touched the dynamic support area baseline, which can either accelerate the decline, or initiate a short-term pullback. The correction probably has not completed yet, but temporary pullbacks from the 20-day moving average would be a normal thing.
According to the Commitment Of Traders reports, the net position of commercial traders had reached the cyclical bottom 2 weeks before the current drop, so the further development of the downswing fits into the overall decline of the market (stocks, cryptocurrencies)
Don't forget - this is just the idea. Always do your own research and never forget to manage your risk at all times!
Gold has touched the dynamic support area baseline, which can either accelerate the decline, or initiate a short-term pullback. The correction probably has not completed yet, but temporary pullbacks from the 20-day moving average would be a normal thing.
According to the Commitment Of Traders reports, the net position of commercial traders had reached the cyclical bottom 2 weeks before the current drop, so the further development of the downswing fits into the overall decline of the market (stocks, cryptocurrencies)
Don't forget - this is just the idea. Always do your own research and never forget to manage your risk at all times!
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.