XAUUSD: A Short-term Sell Setup
-INTRODUCTION-
Gold has recently reached a short-term lower low at the $1785 level. From that support area, we can see a formation of a bearish flag, with price slowly and nicely rising to retest the previous resistance levels. This price action illustrates a very clear bearish structure, and a healthy retracement would give us a good opportunity to sell at a higher price level to target the recent low at $1785 level.
-TRADING PLAN-
Currently, the price is testing the resistance level of $1860. We can see that RSI has already reached the overbought area; therefore, we will watch for a consolidation pattern + a sharp bearish price impulse.
Two key resistance levels are $1860 and $1890.
Check out our recent retracement trading ideas below :)
Gold has recently reached a short-term lower low at the $1785 level. From that support area, we can see a formation of a bearish flag, with price slowly and nicely rising to retest the previous resistance levels. This price action illustrates a very clear bearish structure, and a healthy retracement would give us a good opportunity to sell at a higher price level to target the recent low at $1785 level.
-TRADING PLAN-
Currently, the price is testing the resistance level of $1860. We can see that RSI has already reached the overbought area; therefore, we will watch for a consolidation pattern + a sharp bearish price impulse.
Two key resistance levels are $1860 and $1890.
Check out our recent retracement trading ideas below :)
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