Short-Term Trade Plan In Gold
Alexandros Yfantis | Sep 26, 2017 07:34AM ET
Hi traders, with Gold pulling back from $1,350 to $1,288 over the last few sessions, I believe it is time for the precious metal to start its next leg up towards $1,400 and why not higher. Since our warning calls around $1,350 for a pull back…
The up trend paused right at the trend line resistance and we pulled back towards $1,290-$1,300….Once the correction was unfolding…my wave view for gold was the following….
Price made new lows below $1,300 after the FOMC as expected…..
And all the signs were there for a reversal….we did not fear the $1,300 pull back or even the new lower lows….
Because we were expecting it….And yesterday? the miners started to show that the reversal was coming….
What about now? Gold bounced back above $1,300 and reached the Ichimoku cloud resistance in the 4 hour chart and got rejected.
Get The News You Want
Gold most probably has already started its next leg up. A pull back and a higher low is expected. Maybe between $1,295-$1,305. We will have confirmation of the trend change in the short-term back to bullish once we break above the high we made on the FOMC day…around $1,317. Once this is done…..we look for our first target around $1,400.
So buying the pull back with a stop placed at recent lows is a good risk reward strategy, with the plan to add if and when we break above $1,317.
Disclosure: None of the information or opinions expressed in this blog constitutes a solicitation for the purchase or sale of any security or other instrument. Nothing in this article constitutes investment advice and any recommendations that June be contained herein have not been based upon a consideration of the investment objectives, financial situation or particular needs of any specific recipient. Any purchase or sale activity in any securities or other instrument should be based upon your own analysis and conclusions.
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.