Gold: the possibility of an extension of the decline
Updated
Gold closed lower in the negative line yesterday, above the test neckline resistance position 1984 but failed to break through, the end of the session under pressure to fall back to close under 1960, the daily closing in the negative K line, back to the low oscillation contention.
From a daily perspective, the negative line will be the previous day's cross small positive K-line pattern of the rebound space all back and recovered the low, the daily line still shows weakness, while yesterday stressed the 1984-86 resistance position up after the failure to effectively break through, the short term rebound is not strong enough to return to the downward trend.
Technical:
1, engulfing the negative, the price continues to return to the line of the previous lows, which means the probability of breaking the bottom is high.
2, but today there is a point, 1955-50 this position is today a very critical position, from the k-line pattern, the current h1 hourly line to form a triple bottom area. But again from the momentum to see the strength of the decline is very strong, the market sentiment of weakness has now become a fact. So this location of the interval is recommended not to do any trading, this location of the transaction is very high risk, especially in the Asian market and the European market, up or down probability of 50% each.
The point to note is: must be active in the market, and then look for k-line patterns as well as retracement of the position to trade.
Also look at yesterday's technical points:
1, the highest daily closing, T-shaped, looks very strong, but the overall trend is weak, in this trend, must take advantage of the European strength and weakness, the European market does not break high, the U.S. market down probability is very high, the skills of this method is generally have coherent learning.
2, and yesterday at the end of the European market, the front of the U.S. market time point up, then the U.S. market must be a high fall (first up, then down).
3, the watershed pre-high, the formation of a double top suppression retracement, and the establishment of the point of decline in the broken intra-day low of 1966, the law of the watershed, that is, the rise does not break the top (rise can not effectively break through the previous resistance position), the high fall back to break the bottom (after the rise began to fall, and break the previous low position), then it is necessary to take the continuation.
And the U.S. continuous decline, engulfing the negative, and closed without a reversal, then today's continuation of yesterday's decline is more likely.
But then there is a point that needs to be noted:
Often Thursday, Friday's time is prone to black swans, so at this point in time we need to be wary of the market first to a substantial decline, and then in a substantial rise, out of the V-shaped k-line pattern.
A few points to note today:
1, the upper resistance position 1966 is the current position of the lifeline.
2, the current bottom of the triple bottom is still not broken.
3, pay attention to whether today can accumulate force to fall below the 1953-1950 lows to further open the downside, from the daily and 4-hour probe high to close the low method of action, the short-term potential to break the low signs.
Then the key position today:
Resistance position: 1966-1971
Support position: 1945-1933
From a daily perspective, the negative line will be the previous day's cross small positive K-line pattern of the rebound space all back and recovered the low, the daily line still shows weakness, while yesterday stressed the 1984-86 resistance position up after the failure to effectively break through, the short term rebound is not strong enough to return to the downward trend.
Technical:
1, engulfing the negative, the price continues to return to the line of the previous lows, which means the probability of breaking the bottom is high.
2, but today there is a point, 1955-50 this position is today a very critical position, from the k-line pattern, the current h1 hourly line to form a triple bottom area. But again from the momentum to see the strength of the decline is very strong, the market sentiment of weakness has now become a fact. So this location of the interval is recommended not to do any trading, this location of the transaction is very high risk, especially in the Asian market and the European market, up or down probability of 50% each.
The point to note is: must be active in the market, and then look for k-line patterns as well as retracement of the position to trade.
Also look at yesterday's technical points:
1, the highest daily closing, T-shaped, looks very strong, but the overall trend is weak, in this trend, must take advantage of the European strength and weakness, the European market does not break high, the U.S. market down probability is very high, the skills of this method is generally have coherent learning.
2, and yesterday at the end of the European market, the front of the U.S. market time point up, then the U.S. market must be a high fall (first up, then down).
3, the watershed pre-high, the formation of a double top suppression retracement, and the establishment of the point of decline in the broken intra-day low of 1966, the law of the watershed, that is, the rise does not break the top (rise can not effectively break through the previous resistance position), the high fall back to break the bottom (after the rise began to fall, and break the previous low position), then it is necessary to take the continuation.
And the U.S. continuous decline, engulfing the negative, and closed without a reversal, then today's continuation of yesterday's decline is more likely.
But then there is a point that needs to be noted:
Often Thursday, Friday's time is prone to black swans, so at this point in time we need to be wary of the market first to a substantial decline, and then in a substantial rise, out of the V-shaped k-line pattern.
A few points to note today:
1, the upper resistance position 1966 is the current position of the lifeline.
2, the current bottom of the triple bottom is still not broken.
3, pay attention to whether today can accumulate force to fall below the 1953-1950 lows to further open the downside, from the daily and 4-hour probe high to close the low method of action, the short-term potential to break the low signs.
Then the key position today:
Resistance position: 1966-1971
Support position: 1945-1933
Trade active
Gold short-term pattern bottom formation, focus on the strategy of 1963-66 resistance positionTrade active
Today we mentioned in the strategy to focus on the location of 1950-55, very critical, the market in the decline to 1955 position after the opening rally, here is what I mentioned.1, here is the location of the triple bottom.
2, 1950-1955 the criticality of this position.
But from the k-line pattern to analyze at present, the European rise if not break yesterday's previous high resistance position, the possibility of the U.S. decline will increase.
Trade active
If the market now starts to come under pressure at the 1966 resistance position and falls effectively, coupled with the European session falling below the previous 1951 bottom position, then the likelihood that it will fall below 1945 today will also increase.As mentioned in the article, yesterday's decline, today's continuation down logic is valid.
Trade active
We also need to be aware of the following:Important key position: 1966-67
H1 hour chart above the MA52 average line near the position 1966-67 this position will be today's watershed, as long as the market does not stand 1966-67 this position, then the operation structure is still the market is weak ideas.
But here we need to be reminded: because last night the market fell in advance of the overdraft of a lot of space, resulting in today's market so far momentum is not very strong, is expected to European time to the game will not be too obvious.
Still to focus on the U.S. market.
Trade active
Detailed tips in our strategy today:The possibility of a decline in the U.S. increases if Europe rallies without breaking through yesterday's previous high resistance location.
If the market starts to come under pressure at the 1966 resistance position and falls effectively, coupled with the European session falling below the previous bottom position at 1951, the likelihood of a fall below 1945 today will also increase.
And we have also mentioned: due to last night's market decline in advance overdrawn a lot of space, resulting in today's market so far the momentum is not very strong, is expected to European time gaming is not too obvious.
Now all cashed in.
Trade closed: target reached
The three most important points of the transaction:1, the trend
2, position
3Formation
We will not just tell you what position sell, what position buy.
We are more to tell you how to see the current market, and to be able to read the market themselves.
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.