Looking at XAU/USD market there is a high probability that XAU will fall back below 1500 mark only to rally higher.
Expect 3 day of short before uptrend watching for extended wick to the upside as entry point for short term short position before rapid move back to the up-side.
A slight pull back to 108.6 area will give a potential:
rejection of previous lower time frame descending trend
rejection of higher timeframe support/resistance.
Good R/R comes from targeting previous strong higher timeframe support/resistance
Just like myprevious EUR/JPY set-up I'm short & I'm anticipating EUR/JPY to decline 18 pips with a risk to reward of 2:1 .
Reason being is because we are still bearshish with a lot of seller in the market, intraday S&R and strong
highs lows, lower lows plus, decending Triangle formantion which will most likely break to the downside & many more.
Lets see how...