Gold - we are overbought, will there be a correction after ATH?Hi guys , we are looking into GOLD (XAU/USD). We have reached back to the ATH levels around 2,800 area. Currently on 1H and 4H the price is moving quite high in the RSI Indicator , reaching very overbought levels.
Currently with President Donald Trump sitting on the chair in the White house we are seeing quite a lot of fundamentals which are reflecting over gold. This is why my entry would be build up as following:
Entry: Pending order - Sell Stop @ 2,790 with following targets
TP1: 2,760
TP2: 2,720
TP3: 2,690
Your stop loss can be based on your risk management strategy, but I would open it without and monitor the trade so I can follow up if the price continues above ATH and we have an Ascending Bull run, I would close and re-visit the strategy.
Tell me in the comments what are your thoughts about this set-up and your overall analysis on Gold (XAU/USD)