Good morning investor friends!
Last March 17th we were analyzing Gold and we came to the conclusion that a bearish scenario could occur down to $1700-1680 prices.
Today I found that gold formed a bearish wedge pattern. This would reaffirm the scenario from the last analysis.
There are 3 key points to consider:
1- Gold has remained below the psychological resistance $1750 (yellow line).
2- It has remained below the trend line of the bearish channel (red line).
3- It is in a bearish wedge pattern (blue lines).
All this increases the downward pressure on Gold and gives us a good chance that the price will go down again.
Therefore the scenario I propose is this:
A breakout of the bearish wedge and a fall to the next support at $1680. Which in fact at this precise moment is already happening.
Personal opinion:
If there is a true break below $1720, I would sell with a take profit at $1680 and a stop loss above $1750. In fact such a downward move could take Gold to lower prices at $1640.
I hope my analysis will be useful to you friends! Best regards 👋📈
Important
The information provided in this publication should not be considered as an investment recommendation. Trading cryptocurrencies, forex, stocks, among others, is risky.