Hello Traders,
Here is the Top-Down Analysis of GOLD/ XAUUSD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 03 - Jan 18
M > After reaching all time high price dropped till 0.5 Fib level on bullish impulse while price faced downward rejection from 0.618 Fib level on bearish impulse. Price has tested 1965 level twice and faced rejection, making it a key level for Bulls to break.
W > Price moved up to test 1965 level and immediately dropped creating a double top. It closed the week at weekly support. A break below will expose 1764 and 1677 levels and rejection will expose 1965 again.
D > Last week price consolidated between 1860 and 1828, however weekly close at 1826 cannot be considered as a break of 1828 level.
As per COT GOLD closed a major chunk of Long and few Short suggesting a short term consolidation to accumulate liquidity.
4H > We can see bullish divergence hence expect price to continue with consolidation between 1828 and 1860 levels.
Pair Correlation > Gold has positive correlation with Silver.
This was my Idea and I hope you find it useful. If you find the analysis of help please leave a LIKE and FOLLOW for receiving all updates during the week. In the comment section share your view or ask questions.
Thank You
AP17FX
Here is the Top-Down Analysis of GOLD/ XAUUSD (Monthly, Weekly, Daily for direction and 4H for entry) for
Week 03 - Jan 18
M > After reaching all time high price dropped till 0.5 Fib level on bullish impulse while price faced downward rejection from 0.618 Fib level on bearish impulse. Price has tested 1965 level twice and faced rejection, making it a key level for Bulls to break.
W > Price moved up to test 1965 level and immediately dropped creating a double top. It closed the week at weekly support. A break below will expose 1764 and 1677 levels and rejection will expose 1965 again.
D > Last week price consolidated between 1860 and 1828, however weekly close at 1826 cannot be considered as a break of 1828 level.
As per COT GOLD closed a major chunk of Long and few Short suggesting a short term consolidation to accumulate liquidity.
4H > We can see bullish divergence hence expect price to continue with consolidation between 1828 and 1860 levels.
Pair Correlation > Gold has positive correlation with Silver.
This was my Idea and I hope you find it useful. If you find the analysis of help please leave a LIKE and FOLLOW for receiving all updates during the week. In the comment section share your view or ask questions.
Thank You
AP17FX