XAUUSD 3 September 2024
Back from a short break with a potential trade idea!
Trade Setup:
Instrument: XAU/USD (Gold Spot vs. U.S. Dollar)
Analysis:
Trend Direction: The 1D chart shows that the price is nearing a significant support level, and the 1H chart reflects a recent downward movement, which could suggest a short-term pullback within a longer-term upward trend. The trade will focus on a potential buy entry at a strong support level that coincides with key Fibonacci retracement levels.
Fractals and Levels:
Support Level: $2,490 (a strong support level on the 1D chart and close to a significant Fibonacci retracement level).
Resistance Level: $2,510 - $2,515 (a potential area of resistance on the 1H chart and also near the recent fractal high).
Fibonacci Levels: The area around $2,490 could also align with a 50% or 61.8% Fibonacci retracement level, adding confluence to this support.
Trade Idea:
Entry Price: $2,492 (this level is close to the key support level at $2,490, providing a low-risk entry. It’s also a confluence point with Fibonacci retracement levels).
Stop Loss: $2,485 (just below the support level and slightly beneath the potential noise, keeping the risk minimal).
Take Profit: $2,515 (this aligns with a resistance level where liquidity might be high, and a retracement could be expected).
Reward-Risk Ratio:
Risk: $2,492 (Entry) - $2,485 (Stop Loss) = $7
Reward: $2,515 (Take Profit) - $2,492 (Entry) = $23
Ratio: $23 / $7 = 3.29
Trailing Stop Loss Adjustment:
First Adjustment: Once the price reaches $2,500, move the stop loss to break even at $2,492 to eliminate risk.
Second Adjustment: If the price reaches $2,505, move the stop loss to $2,495 to lock in some profits.
Final Adjustment: When the price reaches $2,510, adjust the stop loss to $2,500 to secure more profits.
Execution:
Order Type: Place a limit buy order at $2,492.
Target Price: $2,515.
Stop Loss: $2,485.
Trade Probability:
This trade is designed to align with the support level and the potential for a bounce back within the context of the overall trend.
Trade Setup:
Instrument: XAU/USD (Gold Spot vs. U.S. Dollar)
Analysis:
Trend Direction: The 1D chart shows that the price is nearing a significant support level, and the 1H chart reflects a recent downward movement, which could suggest a short-term pullback within a longer-term upward trend. The trade will focus on a potential buy entry at a strong support level that coincides with key Fibonacci retracement levels.
Fractals and Levels:
Support Level: $2,490 (a strong support level on the 1D chart and close to a significant Fibonacci retracement level).
Resistance Level: $2,510 - $2,515 (a potential area of resistance on the 1H chart and also near the recent fractal high).
Fibonacci Levels: The area around $2,490 could also align with a 50% or 61.8% Fibonacci retracement level, adding confluence to this support.
Trade Idea:
Entry Price: $2,492 (this level is close to the key support level at $2,490, providing a low-risk entry. It’s also a confluence point with Fibonacci retracement levels).
Stop Loss: $2,485 (just below the support level and slightly beneath the potential noise, keeping the risk minimal).
Take Profit: $2,515 (this aligns with a resistance level where liquidity might be high, and a retracement could be expected).
Reward-Risk Ratio:
Risk: $2,492 (Entry) - $2,485 (Stop Loss) = $7
Reward: $2,515 (Take Profit) - $2,492 (Entry) = $23
Ratio: $23 / $7 = 3.29
Trailing Stop Loss Adjustment:
First Adjustment: Once the price reaches $2,500, move the stop loss to break even at $2,492 to eliminate risk.
Second Adjustment: If the price reaches $2,505, move the stop loss to $2,495 to lock in some profits.
Final Adjustment: When the price reaches $2,510, adjust the stop loss to $2,500 to secure more profits.
Execution:
Order Type: Place a limit buy order at $2,492.
Target Price: $2,515.
Stop Loss: $2,485.
Trade Probability:
This trade is designed to align with the support level and the potential for a bounce back within the context of the overall trend.
Trade active
We observed a small reaction at our entry where price pushed to $2496.
Given that price is ranging and any bullish reaction is absent.
We have revised our position:
Entry: $2492
Stop Loss: $2488
Target: $2505
Trade active
This is how we are managing this trade:
Trailing Stop Loss Adjustment:
First Adjustment: When the price reaches $2,498, move the stop loss to break even at $2,492 to eliminate risk.
Second Adjustment: If the price reaches $2,502, move the stop loss to $2,495 to lock in some profits.
Final Adjustment: When the price reaches $2,504, adjust the stop loss to $2,500 to secure additional profits.
Trade closed: target reached
Adjusted target price of $2505 reached! Trade closed!
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.
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.