THE KOG REPORTKOG REPORT:
In last week’s KOG Report we said we would face a difficult week on the markets and will be looking for higher pricing on Gold, and if price did start with a decline, we would be looking for the levels 1970-65 for a strong support before attempting the long trade into the target regions we had above. We gave KOG’s bias level as 1965 bullish above and a target price of 2003 on our morning review and update. Looking at the move that occurred, it couldn’t have been anymore precise with the low being put in at 1965 and the target regions above completing. Another successful week on the markets with not only on Gold, but the numerous other pairs we analyse and trade.
So, what can we expect in the week ahead?
It’s the end of the month, so expect there to be some profit taking across the markets which will cause a lot of volatility. It’s a good idea for most traders, but especially new traders to sit out of the markets during these periods, rather spending their time on education, practicing, and improving their techniques and strategies. Gold, we can see higher pricing, however, again, how high are they going to take it?
We’re looking for two moves this week, either the long from the immediate support level or KOG’s bias level which we’ll issue, or a short if price continues to the upside from the open. We’re a too high to get a decent entry from this level, so Monday could be played sitting on the sidelines waiting for price to make a move into the levels we want before attempting a trade. Of course, we’ll also be waiting for our trusted Excalibur to guide us.
Levels of interest on the downside are the 1990-85 levels, where, if support holds, we feel an opportunity to long the market into the higher resistance levels could arise. We’ll be monitoring the 2010-15 resistance closely, if achieved, this is where we feel a reaction in price may take place, potentially giving bears an opportunity to short the market back down into the support levels below. A break of that level will continue the move into the previous order region 2030-35 so it could be an idea to hold a runner for higher pricing. A weekly and monthly close above that 2020 level is important for bulls and it’s likely there will be a fight for the close, so please trade this wisely, if you’re going to trade it.
On the flip, if price does continue to the upside from the open, we’ll again be looking at 2010-15 for a reaction in price, otherwise, we’ll trade this level to level long on the intra-day using our red box strategy until we feel there is an opportunity to short it back down.
KOG’s bias for the week:
Bullish above 1985 with targets above 2010 and above that 2015
Bearish on break of 1985 with targets below 1975 and below that 1965
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As always, trade safe.
KOG
