Gold breaks down at 4420—let’s redraw the lines again.
For today’s morning session, I was leaning toward a “pullback to buy the dip.” But the market used a single big bearish candle to smash straight through 4420, proving that our prior judgment was wrong.
If we’re wrong, we admit it—no stubbornness. The market structure has changed, so the strategy must be overturned and redone.
Current situation:
The price has broken below the previous low of 4432 and also pushed through the 4420 integer level. In the short term, the bullish structure has been damaged. The 4430–4440 zone has become the new “resistance area,” while there is no clear support immediately below. We can only watch the 4400 psychological level and the 4385 prior dense trading area.
If the funding flow turns bearish and a larger share of “smart money” has shifted to the short side, then any rebound will likely be weak. In that case, following the trend and looking for high shorts is the more rational choice.
New trading strategy:
1. Aggressive: If price rebounds to around 4425–4444 35, short with a small position size. First target: 4400. If it breaks through, then look to 4385.
2. Conservative: Wait for a pullback and retest of 4435–4440 to confirm rejection of resistance before entering. Targets are the same as above.$XAU
For today’s morning session, I was leaning toward a “pullback to buy the dip.” But the market used a single big bearish candle to smash straight through 4420, proving that our prior judgment was wrong.
If we’re wrong, we admit it—no stubbornness. The market structure has changed, so the strategy must be overturned and redone.
Current situation:
The price has broken below the previous low of 4432 and also pushed through the 4420 integer level. In the short term, the bullish structure has been damaged. The 4430–4440 zone has become the new “resistance area,” while there is no clear support immediately below. We can only watch the 4400 psychological level and the 4385 prior dense trading area.
If the funding flow turns bearish and a larger share of “smart money” has shifted to the short side, then any rebound will likely be weak. In that case, following the trend and looking for high shorts is the more rational choice.
New trading strategy:
1. Aggressive: If price rebounds to around 4425–4444 35, short with a small position size. First target: 4400. If it breaks through, then look to 4385.
2. Conservative: Wait for a pullback and retest of 4435–4440 to confirm rejection of resistance before entering. Targets are the same as above.$XAU