Nov. 16 – Choppy Trading In Gold – A Quick Technical Review
Arslan Butt • 1 min read
What’s up fellas. A day before, Gold traded exactly in line with our forecast. The investors were advised to stay bullish above $1,277 with a target somewhere around $1,285. For now, the technical side is also lining up for a potential trade setup.
Gold // XAUUSD- Technical View
There are loads of technical indicators that are suggesting a blend of the bullish and bearish trend, certainly confusing the traders. No worries, we can still take advantage of thin trading volume in Gold. Let's take a look.
Gold – 4 Hour Chart – Trading Ranges
– On the 4 Hour chart, we can see a huge bearish candle engulfing the previous bullish candle, demonstrating the selling sentiment of traders. But right after it, the Gold has formed a "Spinning Top" which is followed by a bearish engulfing candle. It means, the bearish trend of Gold is lacking momentum. No surprises, this happens when the market is lacking trend.
– Stochastic and RSI are coming out of the overbought zone. Which signifies that entering a sell position will give some profits today.
– Gold is facing an immediate support of $1,277 and $1,271. Whereas, the resistance prevails at $1,283 and $1,289.
Gold //XAUUSD – Trading Plan
Today $1,281 is a very crucial trading levels as below this, the Gold has higher odds to stay in sell with an initial target of $1,277 and $1,272. Good luck and trade with care fellows!