Gold Breaks the 200 SMA: Is a PRZ Reversal Coming Next?
$XAUT has finally broken above the Descending Channel and the 200 SMA on the daily chart, confirming an important technical breakout.
However, price is now approaching the Potential Reversal Zone (PRZ) and the upper trendline of a potential Ascending Channel, where additional selling pressure could appear.
From an Elliott Wave perspective, gold appears to be completing main wave 5 inside the PRZ, suggesting that a corrective phase could begin soon. A decline from this area could also act as a pullback to retest the recently broken Descending Channel and the 200 SMA.
I expect gold to start declining from the PRZ and move at least toward $4,547.230.
🎯 Take Profit: $4,547.230
🛑 Stop Loss: $4,727.000
Key level to watch: $4,520
Do you think gold will start a correction from the PRZ?
🔴 Yes
🟢 No
#GOLD
$XAUT has finally broken above the Descending Channel and the 200 SMA on the daily chart, confirming an important technical breakout.
However, price is now approaching the Potential Reversal Zone (PRZ) and the upper trendline of a potential Ascending Channel, where additional selling pressure could appear.
From an Elliott Wave perspective, gold appears to be completing main wave 5 inside the PRZ, suggesting that a corrective phase could begin soon. A decline from this area could also act as a pullback to retest the recently broken Descending Channel and the 200 SMA.
I expect gold to start declining from the PRZ and move at least toward $4,547.230.
🎯 Take Profit: $4,547.230
🛑 Stop Loss: $4,727.000
Key level to watch: $4,520
Do you think gold will start a correction from the PRZ?
🔴 Yes
🟢 No
#GOLD