Gold’s Uptrend Strong, But Is a Short-Term Drop Coming?Gold ( OANDA:XAUUSD ) has increased by more than +5% over the past seven days and has managed to create new All-Time High(ATH) daily. The reasons for the increase in Gold prices include US economic statistics and the tensions in the Middle East that have increased these days.
The question is how long this bullish trend in Gold will continue. It seems that Gold needs at least a correction to continue its upward trend and I tried to find the starting zone of the correction with technical analysis tools (for the short term ).
Gold is moving near the Potential Reversal Zone(PRZ) , this zone could be a correction zone for Gold for at least the short term .
Gold also responds well to the Pitchfork tool lines , the Pitchfork lines can be considered as support and resistance lines for gold .
From an Elliott Wave theory perspective, Gold appears to be completing microwave 5 of main wave 5 (these five waves are likely to be part of main wave 3 ).
Also, we can see the Regular Divergence(RD-) between Consecutive Peaks .
I expect Gold to drop to at least $3,003 after breaking the Uptrend line , and my second target is $2,986 .
Note: The worst Stop Loss(SL) for your Short position could be $3,061.
Gold Analyze ( XAUUSD ), 2-hour time frame.
Be sure to follow the updated ideas.
Do not forget to put a Stop loss for your positions (For every position you want to open).
Please follow your strategy; this is just my idea, and I will gladly see your ideas in this post.
Please do not forget the ✅' like '✅ button 🙏😊 & Share it with your friends; thanks, and Trade safe.
