GOLD 1H Situational Analysis
Gold has been pushing up for a long period of time, now it has finally slowed down and started consolidating seen on 1H chart.
For LONG opportunities, we need a upward confirmation signal Break of Structure(BOS) to happen at level 2517.580 first, which increases the probability of the market going towards the TP level 2531.765, after which we can start seeking for entry area at lower timeframes to BUY. There are two scenarios for the market to reach BOS, briefly marked by the blue and green prediction paths.
At current moment, it is not easy to Short the Gold, since the uptrend in higher timeframes still seems very strong. But I've suggested a rough "Caution level" at 2491.000, indicating a potential trend reversal signal once it's broken, it's lying below a 1H green demand zone.
Note
Gold 1H just did false breakout, that's why it's better to wait for clear BOS and pullback before entry. Currently, the markets is consolidating.
Note
Gold 30min chart has started ranging locally, the strength of uptrend in higher timeframes seems to be depleted, right now it's difficult to predict and movement. I would wait for the support liquidity level at 2494.515 to be broken first, then be looking for additional confirmation signals.
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