Gold (XAUUSD)Short
Retest of 1972 by Head and Shoulders Pattern?
Updated
Gold has found support by the trend channel in 1933-1945 and rose sharply to 1988 on Wednesday. But today it faced heavy selling pressure at the 1993 key level and corrected to 1980. There is a high chance, that gold will revisit at least 1972 and a potential Head and Shoulders Pattern is already forming.
You can trade the break of the neckline or a pullback towards 1986, if you see bearish signs at the red lines.
Important resistance zone: 1986-1988
Take profit level: 1972 and 1967
You can trade the break of the neckline or a pullback towards 1986, if you see bearish signs at the red lines.
Important resistance zone: 1986-1988
Take profit level: 1972 and 1967
Trade closed manually
40 Pips from 1982 so far, took profit for the moment as the channel uptrend line gave support.Note
The picture changed a bit as the neckline already broke. There is a possibility of a retest and further short movement, If the price can hold over 1982 the risk of shorting is to high now.Trade closed: target reached
Target reached easily. Couldn't trade the retest as it happend during the Asia session, but I would have been a wonderful trade. Closing this idea, moving on to the next one.Full movement: 100 Pips for TP1, 150 Pips for TP2
Hopefully you made money out of this idea :)
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