Since March 22, we have seen Gold go from a high of $2071 and continue down until price found support creating Weekly Equal Lows during October & November 22. Price pushed below previous Weekly Equal Lows of $1680 seeking out buyside liquidity, creating the momentum needed to break the overall downtrend in November 22.
Since then price has run up to around $1950 before pulling back and creating a Daily Imbalance (Daily FVG). Price created weak buyer recovery which saw a 1H Bear Flag form and price push up into the Daily Imbalance before rejecting and continuing down.
By using Fibonacci from the low at $1616 to the high at $1950 we can see that our 61.8% level lines up perfectly with the topside of our Weekly Imbalance (Weekly FVG).
For me, i expect price to continue down further giving me an entry to go Long between the 61.8% – 79% Fib levels.
Price targets will be Previous High at 0%, -27% & a final take profit between $2100 – $2170.
Stop placed just below the Weekly Lows/100% Fib level or pending price action at time of entry, possibly below 1H structure providing a much better RRR.
Minimum Risk Reward on this trade will be a 2.3:1.
Since March 22, we have seen Gold go from a high of $2071 and continue down until price found support creating Weekly Equal Lows during October & November 22. Price pushed below previous Weekly Equal Lows of $1680 seeking out buyside liquidity, creating the momentum needed to break the overall downtrend in November 22.
Since then price has run up to around $1950 before pulling back and creating a Daily Imbalance (Daily FVG). Price created weak buyer recovery which saw a 1H Bear Flag form and price push up into the Daily Imbalance before rejecting and continuing down.
By using Fibonacci from the low at $1616 to the high at $1950 we can see that our 61.8% level lines up perfectly with the topside of our Weekly Imbalance (Weekly FVG).
For me, i expect price to continue down further giving me an entry to go Long between the 61.8% – 79% Fib levels.
Price targets will be Previous High at 0%, -27% & a final take profit between $2100 – $2170.
Stop placed just below the Weekly Lows/100% Fib level or pending price action at time of entry, possibly below 1H structure providing a much better RRR.
Minimum Risk Reward on this trade will be a 2.3:1.