However, for those who have already entered long here, there is a possibility that the yellow metal could drive down to the H4 at 1315.6-1319.6 before serious buyers step in. Given that this H4 demand base also merges with the above said daily , as well as being lodged within the aforementioned H4 reversal area, we have set a pending buy order at 1319.8 with a stop placed below the X point of the at 1309.1.The reason as to why we did not enter long at the 78.6% Fib line was simply down to the size of the stop loss required and nothing more.
Levels to watch/live orders:
• Buys: 1319.8 Pending order (Stop loss: below the X point of the H4 formation: 1309.1, which is, as you can see, set just beyond the H4 support at 1310.3).
• Sells: Flat (Stop loss: N/A).