Chart Pattern Analysis Of XAU/USD
After K2 close below the neck line of a potential double top pattern,
K3 is breaking the uptrend line.
A short-term downtrend OR larger scale horizontal consolidation process is possibly on the way.
If the following candles fall back to test the uptrend line under sharply increased volume,
It will be a good place to short it there.
Short-2318/Stop-2334/Target-2271
Comment:
If K3 break up K2,
It will be a good place to buy here.
If K3 break up K2,
It will be a good place to buy here.
Trade closed: stop reached
From K1 to K3,
It is a bullish three soldiers stalled pattern.
K3 failed to close below the downtrend line under sharply increased high volume.
So, the previous short-term downtrend market had turned to be more neutral here.
The possibility of a larger scale declined consolidation process is possibly on the way.
K4 must close below K3 immediately to verify the downtrend,
If the following candles break up K3 or test the lower price of K3 under low volume,
I will try to stop loss and even try to buy in.