21/09/27 - Gold (XAUUSD) Near Ultimate Bottom - by RT_Trading_
Hi Trader,
I’m glad to provide you with my new idea about Gold (XAUUSD). The last Idea hit successfully both of our take profits – it even went further.
Nonetheless, price action changes day by day, so does my analysis. Gold closed at a price around 1750.46 on Friday’s US session. What I noticed is that we are currently forming a triangle in which the inner structure seems to be forming inner 5-3-5-3-5 waves. This sort of price action occurs the most in the 4th wave of an Elliot Wave cycle.
So, what’s next?
I expect for this week, starting Monday with a lot of volatility. That is why I think it is possible to easily play both directions until we see the last sell-off on Gold towards 1725. Why do I think we may see 1725? This number is of major importance because it is exactly the 161.8% extension of prior Wave A, which is the also the maximum possible extension for wave C. Currently, we are moving at around 120% extension area. Since we didn’t really see a big bull reaction here, I do assume that we may test this area with a very high chance.
This is where I will gladly buy myself in and hold my positions until Gold reaches my target of around 2050. I’m very confident that we are ahead of a major bull cycle also if Gold gave the sensation of struggling a lot lately.
What do you guys think?
This is no financial advice.
Raffa from RT_Trading_
´
I’m glad to provide you with my new idea about Gold (XAUUSD). The last Idea hit successfully both of our take profits – it even went further.
Nonetheless, price action changes day by day, so does my analysis. Gold closed at a price around 1750.46 on Friday’s US session. What I noticed is that we are currently forming a triangle in which the inner structure seems to be forming inner 5-3-5-3-5 waves. This sort of price action occurs the most in the 4th wave of an Elliot Wave cycle.
So, what’s next?
I expect for this week, starting Monday with a lot of volatility. That is why I think it is possible to easily play both directions until we see the last sell-off on Gold towards 1725. Why do I think we may see 1725? This number is of major importance because it is exactly the 161.8% extension of prior Wave A, which is the also the maximum possible extension for wave C. Currently, we are moving at around 120% extension area. Since we didn’t really see a big bull reaction here, I do assume that we may test this area with a very high chance.
This is where I will gladly buy myself in and hold my positions until Gold reaches my target of around 2050. I’m very confident that we are ahead of a major bull cycle also if Gold gave the sensation of struggling a lot lately.
What do you guys think?
This is no financial advice.
Raffa from RT_Trading_
´
Trade active:
As you can see price is indeed following this volatile triangle. We should see a break to the downside tomorrow.
Comment:
Almost picture perfect so far.
Trade closed: target reached:
Target hit. We switch to buys. Tomorrow I will update this Idea.