Xauusdopinion
Quick melt on gold (+40pips)-24Feb2021Please check the chart for the analysis and do comment your views on it.
Gold is in a waiting modeGold is keeping itself in the range between 1227 and 1211. The movement is characterized by relatively low volumes but selling is predominate. Nevertheless, even a small increase in volume causes significant upside which is a good signal for bulls. DXY growth plays its role by suppressing bull's power (buying) for now. Going outside of this range leads to retesting of 1232 and 1202 zones. Breaking either one of these levels can lead to further action upwards or downwards. Resistance/support levels are marked in blue and yellow.
In my opinion, gold is waiting for a major fundamental event which will give more volume and define the direction. It should happen soon. Playing inside the range is safe outside of any major news. Eventually gold will make a big upside movement; it is just a matter of time, but this tense situation can bring many unexpected surprises. For example, gold might dive much deeper before actually going up.
