【October 6】 $XAU
The daily chart closed with a doji, and is consolidating overall. Price swept the previous candle’s low liquidity. It is currently in the lower half of the range, with lower highs; bears still have the upper hand.
From yesterday to today, the 4-hour chart formed a smaller consolidation within the larger range. After first sweeping the daily low at 4125, price rebounded to the area near the 4-hour bearish gap at 4166, which we were watching, then met resistance and fell. It has since returned to 4125, but the reaction has been limited so far. If price continues to move within this smaller range, watch the area around 4170 above, and whether it breaks below 4225 toward 4110–4100 below. The breakout of the descending trendline also remains important to watch.
The 1-hour chart has nested consolidation ranges. The main level to watch is whether the gap at 4178 gets filled; otherwise, focus on the upper and lower boundaries of the larger and smaller ranges, and confirm whether breakouts are genuine before deciding on a trade direction.
#Gold
The daily chart closed with a doji, and is consolidating overall. Price swept the previous candle’s low liquidity. It is currently in the lower half of the range, with lower highs; bears still have the upper hand.
From yesterday to today, the 4-hour chart formed a smaller consolidation within the larger range. After first sweeping the daily low at 4125, price rebounded to the area near the 4-hour bearish gap at 4166, which we were watching, then met resistance and fell. It has since returned to 4125, but the reaction has been limited so far. If price continues to move within this smaller range, watch the area around 4170 above, and whether it breaks below 4225 toward 4110–4100 below. The breakout of the descending trendline also remains important to watch.
The 1-hour chart has nested consolidation ranges. The main level to watch is whether the gap at 4178 gets filled; otherwise, focus on the upper and lower boundaries of the larger and smaller ranges, and confirm whether breakouts are genuine before deciding on a trade direction.
#Gold
