Gold (XAUUSD)Short
Trade Plan for Gold (XAUUSD)
Gold is currently moving within a descending channel, indicating a downtrend. It is consistently setting lower highs (LH) and lower lows (LL), confirming bearish market sentiment. Additionally, the RSI is in sync with the price action, reinforcing the downtrend.
Entry Point:
Sell at 2603, which serves as the next significant resistance level. This level is also close to the 0.382 Fibonacci retracement derived from the previous Lower High (2709) and Lower Low (2534).
Stop Loss:
Place the stop loss at 2710, above the last Lower High (LH), ensuring protection against false breakouts.
Take Profit Levels:
TP1: 2496, aligning with the lower boundary of the descending channel and maintaining a conservative target.
TP2: 2389, aiming for the continuation of the downtrend if the price breaks the next support levels.
Trade Notes:
Monitor RSI for divergence or loss of momentum near critical levels.
Confirm the continuation of the descending channel by observing price behavior near 2603 before entering the trade.
Adjust the plan dynamically based on any breakouts or unexpected shifts in the broader market sentiment.
Entry Point:
Sell at 2603, which serves as the next significant resistance level. This level is also close to the 0.382 Fibonacci retracement derived from the previous Lower High (2709) and Lower Low (2534).
Stop Loss:
Place the stop loss at 2710, above the last Lower High (LH), ensuring protection against false breakouts.
Take Profit Levels:
TP1: 2496, aligning with the lower boundary of the descending channel and maintaining a conservative target.
TP2: 2389, aiming for the continuation of the downtrend if the price breaks the next support levels.
Trade Notes:
Monitor RSI for divergence or loss of momentum near critical levels.
Confirm the continuation of the descending channel by observing price behavior near 2603 before entering the trade.
Adjust the plan dynamically based on any breakouts or unexpected shifts in the broader market sentiment.
Disclaimer
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