POTENTIAL TOP ON GOLD (XAUUSD)
Hey everyone! Coming on here with another breakdown of the commodity Gold! Let's dive in!
OK so what I am seeing is a potential for Gold to actually soon make a move to the downside. What leads me to this conclusion is the fact that first off Gold is sitting around all time highs of $2,450 PER OUNCE for this commodity. Literally never seen before. Now of course Gold is a great hedge against inflation and a weakening US Dollar but prices have to eb n flow for the market to be able to build the liquidity to continue with demand in prices. So based on how last week had closed with price you can see an attempt to go higher above that $2,450 per ounce mark but shortly after getting slammed to the downside with very very strong seller momentum...price too expensive...right now. SO what that had caused technically was a bearish engulfing weekly candle...and a very strong push to the downside on the daily timeframe as well! AND IF THE #1 SIGN OF A REVERSAL IS POWER...THEN THIS FITS THAT BILL..
Also something you can see is how the buyers are struggling to bring price up (showing weak to minimal demand) supporting the case for further downside to again build demand back up in this every demanding commodity. ALSO on the 4H timeframe we broke lows and are now in a bearish market for some price action confirmation.
OK so keep an eye out when prices come (if they do) back up into that newly developed supply zone for potential move to downside. Cheers!
OK so what I am seeing is a potential for Gold to actually soon make a move to the downside. What leads me to this conclusion is the fact that first off Gold is sitting around all time highs of $2,450 PER OUNCE for this commodity. Literally never seen before. Now of course Gold is a great hedge against inflation and a weakening US Dollar but prices have to eb n flow for the market to be able to build the liquidity to continue with demand in prices. So based on how last week had closed with price you can see an attempt to go higher above that $2,450 per ounce mark but shortly after getting slammed to the downside with very very strong seller momentum...price too expensive...right now. SO what that had caused technically was a bearish engulfing weekly candle...and a very strong push to the downside on the daily timeframe as well! AND IF THE #1 SIGN OF A REVERSAL IS POWER...THEN THIS FITS THAT BILL..
Also something you can see is how the buyers are struggling to bring price up (showing weak to minimal demand) supporting the case for further downside to again build demand back up in this every demanding commodity. ALSO on the 4H timeframe we broke lows and are now in a bearish market for some price action confirmation.
OK so keep an eye out when prices come (if they do) back up into that newly developed supply zone for potential move to downside. Cheers!
Note
coming closer to supply zone!
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