THE KOG REPORT (Another aggressive week on the horizon)THE KOG REPORT:
In last week’s KOG Report, we said we would be sticking with the plan and gave the extreme level of 2193-5 which is where we expected there to be a RIP, and if held we would be looking to short the market back down into the 2150-55 levels and below that 2147. It was at these levels that we said we would be expecting another RIP with extension into 2135-40 and we would then be looking to trade this back up level to level. During the course of the week, we updated our plans and decided to we’d go with the flip and on the break of 2175, we would continue with the long trades with the bias level 2204, 2210 and the target level 2224 on the available.
As you can see, we completed the targets above on the flip closing price above the target.
As phenomenal week in Camelot, not only on Gold, but the numerous other pairs we trade.
So, what can we expect in the week ahead?
We ended the week last week with an update highlighting the potential regions we would be looking for the price to target on opening. So, for the early part of the week we will stick with the same levels and clearly state, we’re not looking to long the market unless we get a decent pullback! Price may want to stretch, so those that are short without stops (yes, there are traders who trade like this) please keep the higher levels of resistance in mind and know that without historical data up here, we will need to give or take pips either side of levels!
We have the higher resistance zone of 2250-55 and the lower support level of 2225-20 which could be the play for some part of the week as the market takes a rest after the aggressive move upside we’ve witnessed. A complete reversal here may not be on the cards with a stretch into 2255 very likely in our opinion. It’s at these levels, if targeted, that we may look to test the short trades back down into the 2230 and below that 2220 regions with extension of the move back to test the breakout 2205-2197. Bears need to see a clean reversal forming here with a longer timeframe swing with a break below the 2195 level, otherwise, levels above on bounces from support continue all the way up towards the 2286 region which in our opinion is a vali target level.
In summary:
Higher resistance level hit first, clean reversal we’ll look to short back down into 2230 and below that 2220. It’s the lower regions of support we’ll then look at taking the long trades again unless we break below 2195!
Price comes down into support levels, holds above 2220-5 we could see the range form between support there and 2250-55 resistance pre-event!
Don’t forget, we have NFP in the week ahead as well as other news that will drive the markets aggressively. Less experienced and new traders, these aren’t the conditions you should be trading in, rather waiting for the price to do what it needs to and then looking for the right setups.
KOG’s Bias of the week:
Bullish above 2220-5 with targets above 2250 and above that 2286
Bearish on break of 2220-5 with targets below 2195
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As always, trade safe.
KOG
