Let us consider the daily price chart of XAUUSD (Gold) futures. The price is moving in the limits of W1 and D1 bearish trend, containing the falling Donchian Channel. At the moment, we can observe the price retracement completion: the last bar peak of RSI-Bars oscillator is located on the border of the resistance trend line, and that means a prompt price reversal is about to happen. The corresponding Parabolic confirmation will be obtained after the support level breakout at 1162.82, located below next to the last Bill Williams fractal. This mark can be used for opening a pending sell order with Stop Loss placed above $1208.85 per troy ounce. This level is confirmed by the upper Donchian Channel boundary and the last resistance fractal.
After position opening, Stop Loss is to be moved after the ParabolicSAR values, near the next fractal high. Thus, we are changing the probable profit/loss ratio to the breakeven point.
- Position Sell
- Sell stop below 1162.82
- Stop loss above 1208.85
Recommended Content
Editors’ Picks
EUR/USD regains traction, recovers above 1.0700
EUR/USD regained its traction and turned positive on the day above 1.0700 in the American session. The US Dollar struggles to preserve its strength after the data from the US showed that the economy grew at a softer pace than expected in Q1.
GBP/USD returns to 1.2500 area in volatile session
GBP/USD reversed its direction and recovered to 1.2500 after falling to the 1.2450 area earlier in the day. Although markets remain risk-averse, the US Dollar struggles to find demand following the disappointing GDP data.
Gold climbs above $2,340 following earlier drop
Gold fell below $2,320 in the early American session as US yields shot higher after the data showed a significant increase in the US GDP price deflator in Q1. With safe-haven flows dominating the markets, however, XAU/USD reversed its direction and rose above $2,340.
XRP extends its decline, crypto experts comment on Ripple stablecoin and benefits for XRP Ledger
Ripple extends decline to $0.52 on Thursday, wipes out weekly gains. Crypto expert asks Ripple CTO how the stablecoin will benefit the XRP Ledger and native token XRP.
After the US close, it’s the Tokyo CPI
After the US close, it’s the Tokyo CPI, a reliable indicator of the national number and then the BoJ policy announcement. Tokyo CPI ex food and energy in Japan was a rise to 2.90% in March from 2.50%.