Gold melt due to USD rebound, fed policy and big tech,
Updated
Looking at the data calendar this week and my overall bias of smart money being long USD I am short gold. I have marked daily order blocks in green and the fair value of fresh range breakouts with blue lines. There is some imbalance in the charts down towards 1500 and gold as set up a rather juicy liquidity pool right near the recent equal lows. I think we may see three days of retracement and then when USD data releases on Thur-Fri we may see USD strength hammer the market again. To be honest gold is one of the hardest things to trade and I do NOT recommend anyone with less than a couple years experience trade gold. If you don't know what drives gold price up or down then you should be studying before you trade. I will give you a hint, Inflation does matter but you need to understand all aspects of inflation and ways the fed masks it. Also you need to understand the correlation with treasury bond notes and how that effects gold. This instrument is way more complex to trade than the average "it moves with AU" or "just follow the dxy". Happy fathers day everybody and safe trading this week!
Note
Be patient with gold, this particular instrument is master at taking impatient peoples money.Note
It is looking like inflation is a constant pressure on gold to rally higher, do not under estimate the algo. We can see some wild things happen with gold in the upcoming weeks when we look at the feds methods for battling inflation.
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