XAUUSD - Bearish Channel
XAUUSD has been bearish for quite a few months now and there are chances it would keep it that way, here are my reasons:
1- Rejection from the upper channel like from 1800s contributing to huge weekly bearish engulfing last week terminating the bullish sentiments of the market (I thought it has broken high as well but it did not)
2- The target on the channel's upper line appears to be around 1772 which is also the 0.50 retracement level of last weekly candle (co-incidence yet deserves a thought)
3- FEDs are hawkish considering their policies towards leashing inflation and possible recession, they even pre-announced a last interest rate hike for the year 2022 before the last FOMC minutes
However, we are still depending on the decision of 1772 for now, either it will break high or get reject.
P.s. it is not a definite figure at 1772, 5-10 points up and down serve the purpose as well!
Personal opinion:
There are chances we might see rejection from here! However, make no assumptions before we see a rejection sign!
1- Rejection from the upper channel like from 1800s contributing to huge weekly bearish engulfing last week terminating the bullish sentiments of the market (I thought it has broken high as well but it did not)
2- The target on the channel's upper line appears to be around 1772 which is also the 0.50 retracement level of last weekly candle (co-incidence yet deserves a thought)
3- FEDs are hawkish considering their policies towards leashing inflation and possible recession, they even pre-announced a last interest rate hike for the year 2022 before the last FOMC minutes
However, we are still depending on the decision of 1772 for now, either it will break high or get reject.
P.s. it is not a definite figure at 1772, 5-10 points up and down serve the purpose as well!
Personal opinion:
There are chances we might see rejection from here! However, make no assumptions before we see a rejection sign!
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