xau/usd update
Updated
The price action has responded precisely to the support level I highlighted yesterday, rebounding with remarkable accuracy. This movement is part of a broader pattern, as the market has been confined within a descending channel. This channel has essentially acted as a temporary retracement against the dominant trend. Currently, we are witnessing an attempt by the market to break above this channel. Should we see a decisive breakout with a confirmed close above the upper boundary, it could signal the beginning of a strong bullish trend.
However, I wouldn’t be surprised if the price revisits the support zone before embarking on a more sustained upward trajectory. This is particularly likely in light of the rejection candle observed on the 4-hour chart, which hints at some short-term hesitation. My ultimate target remains the resistance level around 2668.50, as this represents a key area of interest for potential sellers.
In summary, while the breakout could ignite bullish momentum, a retest of support seems probable before any substantial move towards the resistance.
Traders, if you found this idea helpful or have your own insights to share, feel free to drop a comment. I’d love to hear your thoughts!
However, I wouldn’t be surprised if the price revisits the support zone before embarking on a more sustained upward trajectory. This is particularly likely in light of the rejection candle observed on the 4-hour chart, which hints at some short-term hesitation. My ultimate target remains the resistance level around 2668.50, as this represents a key area of interest for potential sellers.
In summary, while the breakout could ignite bullish momentum, a retest of support seems probable before any substantial move towards the resistance.
Traders, if you found this idea helpful or have your own insights to share, feel free to drop a comment. I’d love to hear your thoughts!
Trade closed: target reached
target reached.
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