This last bullish movement was quite unexpected. It is clear that the 1616/1620 price level is a strong supply area, and I feel like the USD will slowly lose its safe haven currency status. This will obviously push XAU to its real value in the future.
However, I feel like correction is needed before any continuation is achieved.
I expect a pullback from the resistance and trendline crossing area.
Adding a few indicators like RSI, Stochastics and MACD we can see there is divergences and overbought ratings.
My plan is to short until 1670/1660 and wait for price action to confirm uptrend or sideways consolidation.
However, I feel like correction is needed before any continuation is achieved.
I expect a pullback from the resistance and trendline crossing area.
Adding a few indicators like RSI, Stochastics and MACD we can see there is divergences and overbought ratings.
My plan is to short until 1670/1660 and wait for price action to confirm uptrend or sideways consolidation.