GOLD - Purple War Zones!

8 Mei 2021

GOLD is overall bullish trading inside the red channel so we will be looking for Trend-Following Buy setups as (if) it approaches our lower red trendline. Knowing that GOLD can still trade higher from here, to test the upper red trendline.

Here are the two strong zones where I will be looking for high probability setups:
I call them War Zones, (highlighted in Purple circles)

Zone 1: (1790-1800)

This highlighted purple circle is a strong area to look for buy setups as it is the intersection of the round number 1800 and lower red trendline. (trend-following setup)

Zone 2: (1850-1860)

This highlighted purple circle is a strong area to look for sell setups as it is the intersection of the orange trendline and upper red trendline. (over-bought / over-extended area)

As per my trading style:
As GOLD approaches one of the purple circles, I will be looking for reversal buy/sell setups (like a double bottom /top pattern, trendline break, and so on...)

Always follow your trading plan regarding entry, risk management, and trade management.

Good luck!

All Strategies Are Good; If Managed Properly!
~Rich