11.2 Morning Analysis
Last Friday, gold saw an extreme one-way decline, falling on heavy volume from 4028 and hitting a low of 3870. It staged a short-term rebound in early trading, holding above that low.
The hourly chart remains weak. The RSI has entered deeply oversold territory, and the current rally is merely a technical correction following the sharp sell-off. An oversold indicator only signals a brief pause in the move; it does not mean the trend has reversed. This rebound is just a breather within the downtrend, so don't rush to buy the dip.
Trading Plan
Look to open short positions if the rebound reaches the 3900–3920 resistance zone, with targets at 3880, 3855, and 3820, respectively.
Last Friday, gold saw an extreme one-way decline, falling on heavy volume from 4028 and hitting a low of 3870. It staged a short-term rebound in early trading, holding above that low.
The hourly chart remains weak. The RSI has entered deeply oversold territory, and the current rally is merely a technical correction following the sharp sell-off. An oversold indicator only signals a brief pause in the move; it does not mean the trend has reversed. This rebound is just a breather within the downtrend, so don't rush to buy the dip.
Trading Plan
Look to open short positions if the rebound reaches the 3900–3920 resistance zone, with targets at 3880, 3855, and 3820, respectively.
