Gold vs Euro (XAU/EUR): Preparing for a Breakout
After breaking out of the sideways channel, gold shows a strong upward trend. Currently, we observe consolidation near a key resistance level with the potential for either an upward breakout or a pullback.
Key levels:
• Buy Stop: 2769 EUR
• Sell Stop: 2731 EUR
Possible Scenarios:
1. Breakout Upwards: If the price consolidates above 2769 EUR, we may see a rise towards the 2785-2800 EUR range.
2. Pullback Downwards: If the price breaks below the 2731 EUR support, a drop towards 2700-2680 EUR is possible.
What to Consider:
• Trading Volume: An increase in volume during the breakout will confirm the direction.
• Fundamental Factors: Key economic news from the Eurozone may influence price movements.
My Approach:
I set pending orders for both scenarios and act only after confirming the breakout.
Key levels:
• Buy Stop: 2769 EUR
• Sell Stop: 2731 EUR
Possible Scenarios:
1. Breakout Upwards: If the price consolidates above 2769 EUR, we may see a rise towards the 2785-2800 EUR range.
2. Pullback Downwards: If the price breaks below the 2731 EUR support, a drop towards 2700-2680 EUR is possible.
What to Consider:
• Trading Volume: An increase in volume during the breakout will confirm the direction.
• Fundamental Factors: Key economic news from the Eurozone may influence price movements.
My Approach:
I set pending orders for both scenarios and act only after confirming the breakout.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.