XAUUSD: Buy when it falls back to the support range
Updated
Gold market fundamentals:
Affected by this week's US economic data, according to the CME FedWatch Tool, the market currently has a 55.5% probability of the Federal Reserve cutting interest rates by 50 basis points in September, down from the previous 70%.
The increase in geopolitical risks in the Middle East has led to an increase in safe-haven demand (it is not convenient to explain in detail here, you can learn about the latest Middle East conflicts on your own)
Gold market technical aspects:
Yesterday I said that once the dense resistance range of 2411-2422 is broken, the potential for growth will increase. Now that the gold price has come above the resistance range, the dense resistance area has also turned into a dense support area. At the same time, this rebound has now formed an upward trend. If it can break through 2430-2440, then the gold price is likely to test the historical high again.
Trading strategy:
In the figure, 2416 is the previous high and the support of the lower track of the Bollinger Band. 2422 is the support of the middle track of the Bollinger Band and the Fibonacci retracement of 0.618. Therefore, I will buy if it falls back to the support range of 2416-2422 today, and I am bullish on 2430-2440.
Support range: 2410-2400
Resistance range: 2430-2440
Daily risk data: Canada's July employment (little impact)
Affected by this week's US economic data, according to the CME FedWatch Tool, the market currently has a 55.5% probability of the Federal Reserve cutting interest rates by 50 basis points in September, down from the previous 70%.
The increase in geopolitical risks in the Middle East has led to an increase in safe-haven demand (it is not convenient to explain in detail here, you can learn about the latest Middle East conflicts on your own)
Gold market technical aspects:
Yesterday I said that once the dense resistance range of 2411-2422 is broken, the potential for growth will increase. Now that the gold price has come above the resistance range, the dense resistance area has also turned into a dense support area. At the same time, this rebound has now formed an upward trend. If it can break through 2430-2440, then the gold price is likely to test the historical high again.
Trading strategy:
In the figure, 2416 is the previous high and the support of the lower track of the Bollinger Band. 2422 is the support of the middle track of the Bollinger Band and the Fibonacci retracement of 0.618. Therefore, I will buy if it falls back to the support range of 2416-2422 today, and I am bullish on 2430-2440.
Support range: 2410-2400
Resistance range: 2430-2440
Daily risk data: Canada's July employment (little impact)
Trade active
Gold price is correcting, approaching the buying range, ready to buyTrade active
Since it is Friday and there are no important data releases or official speeches, there is not much fluctuation in the U.S. market today, which is a test of patience.Trade active
Gold price rebounded after falling back to the support range of 2416-2422. At present, it seems that there is still resistance at 2430. If it can break through effectively, it can look to 2340.Trade active
The resistance near 2430 is still very strong. For conservative long orders, you can take profit here first. For aggressive ones, you can continue to look at higher points.
Trade closed: target reached
Gold continued to rise in the Asian and European sessions and successfully reached the final target of 2440. Congratulations to my friends who referred to my strategy
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