Good Morning Forex Friends
Gold is trading near to its resistance since last few days.Resistance is around 1243-49 area and this could be the watching area for next move.I am sharing daily and 4 hour time frame charts patterns to give logical view.
Daily Time Frame Chart
There is bit confusion between bulls and bears in this stage.Gold is moving near to its resistance level.We will have to wait for the reversal signal from the resistance area.If gold break the resistance and close above the resistance line in daily time frame chart then resistance may become support and we will buy from the support area.If we get any reversal signal from the resistance area we will sell gold accordingly.
4 Hour Time Frame Chart
4 Hour chart will help us to get a quick confirmation regarding gold next move.Gold is forming a symmetric triangle in 4 hour chart.The beauty of symmetric triangle is it can can break any side either up or down.If gold break and close above the resistance in 4 hour we will buy and if gold break the support of symmetric triangle we will sell from that area.I will update once i get the confirmation of break in 4 hour chart.
Buy Stop 1254.50
Stoploss below 1141
Take Profit : 1261 ( Close half position and move stoploss to entry point )
Take profit 2 : 1273 ( Close full position )
Gold next target may 1291-93 if its break its resistance
Sell Stop : 1221-23
Take Profit : 1201-03 ( Close half position and move stoploss to entry point )
Take Profit : 1191-93 ( Close Full Position )
Never risk more then 2% of your total account capital in single trade.always trade with proper risk management plan.
Feel free to comment below if you have any concern regarding charts and analysis.Your feedback is always welcome
Wish you good luck and happy trading
Mati Ur Rehman
Gold Analyst @ forex.today