Gold has dropped from $1789/90 highs recently and it seems to be preparing for another round of selloff after testing $1777/78 highs. The yellow metal continues to display a bearish story on the larger degree. After having carved a meaningful high around $1920 in 2011, Gold has been in a corrective A-B-C drop at a larger degree. The drop between $1920 and $1046 was in 5 waves, hence an impulse, Wave (A) here. An impulse wave confirms that the move is incomplete and Gold needs to print yet another low below $1046 to complete the zigzag. It is just a matter of time for Wave (B) to terminate around $1790/95 zone, before Wave (C) resumes lower again. It is safe to wait for a break below $1670 before entering short. Aggressive traders would be short against $1790.
Strategy:
Short against $1790, targeting below $1046.
Legal Disclaimer: This article is not investment advice. The data provided is for marketing material purposes and is not intended to confuse nor guide our clients on trading decisions. Any investment activity performed is perceived to be a self-directed decision. Exclusive Markets is not liable for losses that may occur because of a decision made after reading the information published on our research page or any other media.
Risk Warning: Trading the capital markets is risky therefore further knowledge and experience may be required. Apply appropriate risk and money management always and ensure the implementation of safe leverage.
Strategy:
Short against $1790, targeting below $1046.
Legal Disclaimer: This article is not investment advice. The data provided is for marketing material purposes and is not intended to confuse nor guide our clients on trading decisions. Any investment activity performed is perceived to be a self-directed decision. Exclusive Markets is not liable for losses that may occur because of a decision made after reading the information published on our research page or any other media.
Risk Warning: Trading the capital markets is risky therefore further knowledge and experience may be required. Apply appropriate risk and money management always and ensure the implementation of safe leverage.
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.