Gold on relentless rally / #2,800.80 Target

Oct 23

Technical analysis: Following today’s session spread divergence on Gold’s Spot-prices (Xau-Usd Spot) and Gold Futures are attempting a balance and they are pretty close at the moment which indicates that Gold should be Trading according the Fundamental rules. My focus is on Spot-prices as always which were Trading on Selling pressure throughout the E.U. session but engaged the Short-term upswing in form of a spike as U.S. session is approaching. Naturally, it becomes obvious that Technically, mini Buying leg should be already over with the multiple Top’s on Hourly 4 chart, however Gold is Trading under heavy Buying pressure. It is my belief though that the extension can be as High as the #2,757.80 - #2,762.80 on Short-term, since #2,752.80 psychological barrier / Medium-term Resistance now posing as an Support is invalidated. Daily chart remains marginally Bearish, however Gold is not reacting as negatively as one would expect to with such DX developments. However, DX is pulling back also after hitting it’s April’s Resistance, so in my opinion, I am expecting this week’s Bearish sequence to continue only when Sell-off below #2,752.80 benchmark is delivered. Yields sold back last week’s peak and are suffering Intra-day losses. I am expecting Gold to re-test levels close to #2,720’s within #1 - #3 session horizon.


My position: Price-action is trapping Sellers on Daily basis as Sellers are in attempt to find the correction and book it however Gold is on relentless relief rally and will continue to do so. I Sell also but with very tight Stop's as yesterday and as my #5-point Stop is triggered I Bought Gold immediately on #2,737.80 and closed on #2,756.80 (kept Overnight). I am well known Seller but now I am Buying most of the times both Short and Medium-term. Even though Hourly 1 chart's cycle is pointing on Double Top's and reversal on similar Rising Wedge, Gold is delivering small corrections just to soar more / take it into consideration as I maintain #3,000.80 as my Medium-term Target.