In our previous market update we highlighted a chart setup in Gold and issued a trade idea about it at the end of the update, as we usually do, so I advise that you scroll to the end of the updates for live trade ideas.

We sometimes issue forex signals based on these trade ideas, but sometimes we don´t if we are already exposed too much.

That was the case today with Gold. A chart setup was forming in H1 Gold chart, which suggested that the retrace higher might be coming to an end and that a reverse lower would normally follow.

Well, that´s exactly what happened. Gold climbed to the 50 SMA (yellow) on the H1 chart, failed to break above it, formed a doji and reversed back down.

Calendar Post

• PARENT EVENT
  • There is only one parent event – this is the “homepage” for each event.
  • Calendar → calendar events → Add new event
  • Choose a title and write the relevant text (static content it will not changed)
  • Add an Event Image – minimum 800x500px
  • Event Market – chose the corresponding flag
  • Allow users to set alerts to this event from their Profile Settings page – leave default (no).
• CHILD – these are the actual recurring events – there can be many children but only one parent (add item)
  • Write Event Item title and description
  • Set the time & date it is scheduled for

We posted our Gold update a few hours before that doji was formed 

If you check the previous gold update which we posted about 5 hours ago, we said that you should sell gold at the 50 SMA around $1,286 with a stop above it and TP at today´s low. The moving average stood at $1,285.70 and the price reached as close as $1,285.4 which is close enough to be considered as around $1,286.

So I suppose that you sold Gold up there if you followed that trade idea. If you did and closed at the bottom of that big bearish candle, then you should have made more than $5.

If not, then you can close that trade now for more than $3. If you don´t want to do that either, then I suggest that you lock your Gold trade at break-even and let it run, or just trail the stop $2 above the current price.