Anyway, as you can see from my last idea on Gold , we are quite possibly nearing the end of it's recent run.
Momentum seems to be slowing down, we have reacted quite nicely from the 61% and broken a reasonably long term trendline!
However, in my opinion, until we have breached and made a new low under the next blue dotted line beneath the current price action, we can not say it's bull trend is officially over.
If it makes a new low under this level (blue dotted line indicating the last low) then we have formed a lower low - the first indication of a bear trend.
I have plotted a short term Fibonacci on the chart as you can see. I really should have entered short where it hit the 38% retracement, as this was also a retest of the Trendline it just broke!
However I still believe we can drop down to it's first D1 extension, before we see a nice pullback up to $1225 area before we can enter short again. Once this level has been broken there isn't much in the way of support all the way down to $1200.
Also as you can see the current Fibonacci's D2 extension lines nicely up with $1200 too.
We will see how this plays out.
Currently Neutral, once the dotted line is breached - I'm short bias to $1200.
We paused temporarily around the D1 Fibonacci extension; however we had very little in way of a pullback before smashing straight through it - giving us little opportunity to get back in short.
I am still watching Gold for entry short.
It has came very close to my prediction of $1200 - albeit quicker than I expected.
Right here however, if we call this as a temporary bottom around $1206~. We can draw a new Fibonacci on from it's last leg down so $1236ish to $1206ish we can see the 61% retracement lines up very nicely with the $1225.00 Resistance level.
So what I am watching for now, is a pullback from here to $1225.00 for a perfect entry for a short!
Of course, I am not saying this will definitely happen, I'm simply saying if it does happen, it's a nice entry short.
My prediction of $1200.00 has been achieved very quickly.
It showed very little in the way of a pullback, so unfortunately there was very little in the way of entry opportunties since the $1230's region.
The higher time frames look very bearish, but I am really anticipating a pullback soon, before a continuation to the downside.
Will post a new idea up shortly.