10.12 Chen Jie Morning Analysis
On Monday, markets in the US, Canada, Japan and several other countries were closed, leaving market liquidity relatively thin. The market opened at 4194, briefly dipped to 4184, where strong buying support emerged, then strengthened steadily to a high of 4208. It is currently trading around 4206. Daily candles have continued to push higher, and the moving averages on both the 4-hour and 1-hour charts are in a textbook bullish alignment, with buyers holding an overwhelming advantage.
A large bullish daily candle at the lows confirmed a reversal. The daily MACD green bars have contracted rapidly and are on the verge of turning positive (MACD: 1.13), while the KDJ has formed a golden cross and is diverging strongly upward. The strong overhead resistance magnet points directly to the daily Bollinger middle band at 4227.
The 4-hour Bollinger Bands are expanding upward, with the upper band extending to 4217 and the middle band at 4149. The 1-hour Bollinger middle band has moved up rapidly to 4189, with the lower band providing support at 4175. On the 15-minute chart, the middle band has risen to 4194 and the lower band is at 4184, perfectly aligning with the early-session low of 4184.
Trading strategy
Go long around 4180–4190, targeting 4220–4250–4280, with a defensive stop at 4165#xau $XAU
On Monday, markets in the US, Canada, Japan and several other countries were closed, leaving market liquidity relatively thin. The market opened at 4194, briefly dipped to 4184, where strong buying support emerged, then strengthened steadily to a high of 4208. It is currently trading around 4206. Daily candles have continued to push higher, and the moving averages on both the 4-hour and 1-hour charts are in a textbook bullish alignment, with buyers holding an overwhelming advantage.
A large bullish daily candle at the lows confirmed a reversal. The daily MACD green bars have contracted rapidly and are on the verge of turning positive (MACD: 1.13), while the KDJ has formed a golden cross and is diverging strongly upward. The strong overhead resistance magnet points directly to the daily Bollinger middle band at 4227.
The 4-hour Bollinger Bands are expanding upward, with the upper band extending to 4217 and the middle band at 4149. The 1-hour Bollinger middle band has moved up rapidly to 4189, with the lower band providing support at 4175. On the 15-minute chart, the middle band has risen to 4194 and the lower band is at 4184, perfectly aligning with the early-session low of 4184.
Trading strategy
Go long around 4180–4190, targeting 4220–4250–4280, with a defensive stop at 4165#xau $XAU