Last week we saw Gold follow through with the momentum that was started with a bounce off major support at NFP results Oct. 6. It broke out of a downtrend on the and started to rally, creating a bullish market structure.
Based off major timeframes we could see the bullish momentum continue with the first target being the 1310-1315 area. What is uncertain is when we will make this move and how far will it go. So I have thought of a few possible scenarios that can occur which can include consolidation before a move up or just a straight continuation up due to the weekly close momentum. How far it goes can be dependant on the markets momentum and reaction to price in this zone. Also the correlation with the USD specifically USDJPY which was slightly bearish last week will have an impact on future currency prices.
Based off major timeframes we could see the bullish momentum continue with the first target being the 1310-1315 area. What is uncertain is when we will make this move and how far will it go. So I have thought of a few possible scenarios that can occur which can include consolidation before a move up or just a straight continuation up due to the weekly close momentum. How far it goes can be dependant on the markets momentum and reaction to price in this zone. Also the correlation with the USD specifically USDJPY which was slightly bearish last week will have an impact on future currency prices.
Comment:
We had a big move out of the bullish market structure.. a bit surprising but we'll see if it was a liquidity grab.
