Gold above record High'sFundamental analysis: The current strong decline towards #2,545.80 local Low's came as no surprise as it is next to the #2,552.80 benchmark (February 20th cycle seemingly reproducing and #2018 Year High's). If Gold close today's Daily candle in green I will shortly obtain a rejection with significant potential to retest the #2,545.80 - #2,552.80 Bottom. What is Highly important to note is that I can spot Bullish candlestick patterns on Hourly 4 chart (Three inside Out and Hammer) which can be indication for major Bullish reversal. I was expecting #2,552.80 benchmark and below throughout today's session however this has to be postponed for the end of the next week as the DX may be in jitters due recent Fed developments. For me it is more important that DX meet's its Daily chart's which is showcasing strong durability currently. Configuration should push the DX towards it's Daily chart's High's and Gold towards its Low's. Gold is already recovering recent losses and and with Hourly 4 chart not Oversold anymore, Selling potential is significant. My initial Targets remain #2,564.80 and #2,552.80 benchmark.
Technical analysis: Not a bad week overall as the Price-action followed yesterday's Doji Star formation into today's session series of Bullish Hourly 4 chart’s candles, Gold was settling for a new Higher High's within Daily chart’s wide Ascending Channel. Despite this, the Weekly (#1W) candle remains on a (# +1.46%) and mostly Bearish on my Technicals (on an unfortunate Bull rally). Fundamental side continues to pile heavy Buying pressure however Technically, my Short positions will see their value since Gold reverses every record High's on another aggressive re-Sell opportunity. The current Price-action is exactly on the Higher High's Upper zone extension as there is significantly more potential on the downside as according to my cycle, Gold prices many Top's after it refreshes record High's.
My position: Spot how Gold first got rid of Buyers with #2,575.80 Gap fill which removed big portion of Buyers by trapping them, then reversed into #2,600.80 benchmark breakout. My advice and practical suggestion remains the same: Gold is now extended the Trading range and if you decide to Trade this, implement strict Risk management. I am ready to re-Sell Gold on spot if #2,600.80 benchmark breaks to the downside as this is uncharted Trading territory.