USDX Breaks Out: Gold Struggles For Direction

Updated

https://www.tradingview.com/x/Hk8XuY47/

In the Monday 9 Sept. Oceania & Asia session both Gold & Silver were slow to make traction.

Prior to London session today, the USDX edged closer to 101.50 & made it to this level again, before retracing and breaking out through this level at time of writing. USDX currently 101.60.

Today, I saw some divergence happening between Gold and the USDX, as it rallied Gold did not sell off with the vengeance its normally known for.

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1m Bullish Head n Shoulders Pattern for XAUUSD right now.
I think Gold breaks back out today.
All the major US Indicies US30 etc are up nicely

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The other thing is that the USDX has a tonne of recent resistance up around 1.60.
What is the bigger picture for the USD?
Answer: Well I think its bearish especially next Thursday week for some time. The big banks & the ones betting big are aware of this bigger picture. I think the market makers like this little inverse relationship between the dollar and the gold-price, because they know it get traders into all sorts of problems trading the gold-price.

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101.60

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So what Im saying, is that the dollar could stage a rally for the next 10 days but if its fate is already known (bearish) and another downward move on the charts is on the cards very soon for the US$, then why would it try to stage such a rally. Its like running a marathon but you don't know what you will 'get out of it' or what your motivations for entering such an enduring event were in the first instance. Cheers Chris

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Guys, the best buying zones underneath current price are the following.

These are DEMAND-Zones for XAU USD. You will of course only get-filled on your order if price darts down to these levels.

2493.2757 to 2494.4841

2488.1546 to 2491.5034

2486.0499 to 2487.1186

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It looks like price is coming back to the Fib levels now. Because price is so 'springy' above 2500, you may want to get filled from the big green order-block around 2501.16. SL @ 2497.48

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Price is about head up very soon

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Standby I wil give you a MARKET BUY ORDER.
Dont forget your STOP LOSS 2497.48

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Everything looking great for Gold at the start of our new week. Take a look at what Tay says about Gold & she knows her stuff in relation to chart analysis.
If you want a really good Silver play at the moment take a look at XAGJPY. It is up about 1.5% today but if you pull up its Daily chart it has so much upside left. I am also getting good Oscillator signals right now about XAGJPY

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XAGJPY

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Hi Guys,
I only recommended XAGJPY about a half an hour ago, read above.
I saw it retracing very fast and hence a chance to get you Long in the trade.
The Fib levels were fine I think, I just did not have a great deal of time to work out a more conservative stop, so apologies if you were stopped out, I hope you got back in. The upside with this XAGJPY would be so much more lucrative then XAUUSD.

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than XAUUSD IMHO.

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Guys, Lol I am getting alerts about XAGJPY crossing up on the weekly stochastics. I love it when that happens because demand swarms in like flys. I hope you got on it.

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Update: XAUUSD
See here & even on a very fast timeframe like the 2m price is still holding, respecting the 38.2% fib level. Our Stops were placed down at 2497.48

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USDX has moved fast back to 101.50. There is a lot of resistance starting at 101.60

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I think the USDX is about to sell off on the inverse heads n shoulders pattern.

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USDX has retreated. It likes to threaten at the start of session.
I think the gold price will push back through 2500 now.

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Hmm the 15m Stochastic & Rsi appears to show liquidity has been met yet again. New demand coming in to take the gold price through 2500 again.

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I think that last flush down is it. Earlier I posted some key buying levels (above) where you could've set buy-limit orders right into this zone. I know we did take a buy from a fib level a bit higher. Buy low and sell high is the only way to make money trading gold.
This chart shows that buy-order block where gold very recently pulled back into.

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buy the gold price at current levels.
SL: 2489.90

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2494.60 was that last flush down that gold alway makes under the 38.2% Fib level. On the left screen is my Stochastic and Rsi. The Stochastic is the smarter one of the pair & the thinker. Once the Stoch' on this 30m chart resets under the 20 level and crosses up we should see 2500 taken yet again.

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We are still Long XAU / USD.
There should be a deep retracement soon, where, if you have not gotten into the trade, you should be able to get a price on the retrace back under 2500.

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Earlier today High next to be taken:

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2501.20 best retrace price i think

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SL: 2500.15

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Price should return to its upwards drive now

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So about a half an hour ago a TOP2 formed and price will retrace this a bit up and down, TOP3 might form & then price should take out those highs later in the session with a bit of luck.

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Still Long Gold: But if you see any signs of serious weakness.....sell, sell, sell!
Perhaps you could bring your STOP LOSS up a little to somewhere like 2493.
2489.90 is where I recommended the initial Stop Loss if you had a BUY Order around 2493/94 from memory at Market Price. Your position is better protected at 2489.90. We don't know if price will come under 2500 again any time soon.

Here is a good picture. Where price is currently on right of chart just below the TOP that price has to break. Notice the massive order block above where price currently is & of course the huge buy order block where we should've had our BUY orders, nice and low down there. Buy low, Sell high.

If you want to take profit its up to you. Partial profit is a good way to hedge your bets for the unexpected tomorrow. Trading gold expect anything to happen.
Cheers,
Chris

Easy_Explosive_Trading

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