THE KOG REPORT THE KOG REPORT:
In last week’s KOG Report we said we would anticipate a potential curveball and that being that price may just support on the open at the immediate support level and give the move upside into the 3010 and above that 3020 region which was achieved. We then updated traders with the FOMC report suggesting a further move upside into the 3050-55 region which is where we suggested the potential short will come from.
After the push up into the level and then some accumulation, Friday gave us the volume we needed to break away from the range and complete the move downside to end the week.
Again, nearly all of our bias level targets were completed, the bias level worked well, Excalibur performed well and the red box indi’s worked a dream, even in the choppy market conditions.
So, what can we expect in the week ahead?
We have an issue with gold at the moment, although it’s broken the immediate range, it’s still above 3000 with a larger range low around the 2990 and below that 2970-75 region. That potential swing point below is an area of interest for us this week and leading up towards the end of the month. For that reason, if we can support at the first red box below, and continue the move that started on Friday up into those 3025, 3030 and above that 3035-7 price points we’ll want to monitor this careful for a reversal to form. If we can get it, an opportunity to add or take the short may be available to traders, this time in attempt to break below the 3000 level into those lower support level mentioned and shown on the chart, which also correspond with the red boxes. As many of you have seen over the last year or so, we’ve been sharing these indicator boxes on the 4H for the wider community for free, as they are extremely powerful in identifying turning points and entry and exit points for traders. So let’s keep an eye on them this week for the break and closes, RIP’s and rejections.
We’re mostly looking for this one move to complete, however, there has to be a flip! This week, the flip is breaking above that 3035-37 level which will also be this week’s bias level. If we do breach, we’ll be looking at this to then continue higher, breaking 3050 and then resuming the move into the active Excalibur targets above which ideally, we don't want to see happen yet!
So, we know we want higher, what we do want though is better entry levels for the longs, until then, if we can capture these short trades we’ll of course gratefully take them.
KOG’s bias for the week:
Bearish below 3040 with targets below 3010, 3006, 2997, 2985 and below that 2978
Bullish on break of 3040 with targets above 3050, 3055, 3063 and above that 3067
RED BOXES:
Break above 3037 for 3040, 3047, 3050, 3055, 3063 and 3066 in extension of the move
Break below 3010 for 3006, 3000, 2997, 2990 and 2985 in extension of the move
This should give you an idea of your levels, please use them!
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As always, trade safe.
KOG
