Good Evening Traders ! Hope you had a lovely weekend :)
For me the week has already started, and I've kept my eyes on GOLD.
While checking the DAILY chart, I've considered this possible scenario.
GOLD is currently trading on a raging channel, with very important and specific levels.
I've left some notes on my chart to help you understand this idea.
I marked with BLACK the re-tests. And ORANGE the break-throughs. GREEN BARS are the raging area. And ORANGE BAR is a certain area where I consider to be an important area for GOLD.
As you can see the pair respected both the channel and the key level.
We had a huge rejection to the downside, indicating that up is thew way !
Here we have 3 possible options:
- Either the price shoots straight up; - We might have a re-test on a minor previous support; - The pair go near it's previous high price back in June.
As always, your opinion matters and I'd love to hear it from you !
Feel free to use this trade yourself at your own risk, but remember to do a proper risk managment and to always protect your capital.