Friends, a new week brings new market conditions. Trading has never been about getting the market call right just once; it’s about maintaining discipline and the right mindset over the long term. We don’t rush to turn bullish after a single rebound, nor panic and cut our losses after a brief drop. The market always offers opportunities, but your principal is your trump card.
Back to the charts: gold continued to decline last week. In early trading this week, it dipped below 3880, then began to rebound and recover from its low. It is now around 3905. On the one-hour chart, the price is between the middle and lower Bollinger Bands. Resistance is around 3930, with strong resistance at the upper band near 4015. MACD is turning upward from a low level, while DIFF and DEA remain below the zero line, indicating a weak rebound after a sharp drop—not a reversal. Although the indicators are recovering, the broader bearish structure remains unchanged. Don’t chase the rebound; wait for the price to meet resistance and pull back.
Strategy: Short around 3920–3930, with a target of 3880 and a second target of 3840$XAU
Back to the charts: gold continued to decline last week. In early trading this week, it dipped below 3880, then began to rebound and recover from its low. It is now around 3905. On the one-hour chart, the price is between the middle and lower Bollinger Bands. Resistance is around 3930, with strong resistance at the upper band near 4015. MACD is turning upward from a low level, while DIFF and DEA remain below the zero line, indicating a weak rebound after a sharp drop—not a reversal. Although the indicators are recovering, the broader bearish structure remains unchanged. Don’t chase the rebound; wait for the price to meet resistance and pull back.
Strategy: Short around 3920–3930, with a target of 3880 and a second target of 3840$XAU
