I will be looking to see how price reacts to 96.60-96.46, if it holds as a support it will create an inverted Head & Shoulders. I will then be looking to go Long on USD/XXX and Short on XXX/USD pairs.
NOTE: DXY UP = USD UP. DXY DOWN = USD DOWN
I'm currently in a Short on Gold from 1422.600, reason being is because I'm expecting a pullback to 1366, before a continuation upwards to 1450-1470. I will be going Long once we get the pullback into 1366.
Looking at the Weekly Time Frame there does seem to be a Double Bottom occurring at 51.40, which is why my long term bias will remain Long unless we have a Weekly close below 51.40, Potential upside targets are huge (500+ pips) as the double bottom is on the Weekly.
4HR time frame we are in a range (Short reversals occurring at around 55.00 & Long reversals...
A double top formation seems to be forming, so I will be looking for reversal patterns to form around the 61.8-78.6 region before going Short or even a break of the 2hr CTL. The previous setup was invalidated as there was no reversal pattern. Keep an eye out on the DXY.
I will be looking for reversals to form around 1347-1350 for a potential short. I do see Gold making a retracement to the 61.8-78.6 fib region or make it's way back down to 1275 for a swing higher.
So for potential targets
Target 1: 61.8 Fib
Final Target: 1275.000 (If there is a Weekly Closure below 1275 I will continue to hold).
If I do see any reversal...
We are at the top end of the Monthly Range, so I will be looking for a reversal at the 1.63500 Key Resistance level. I did post this analysis on the 22nd of May, However, we have finally approached this level today.
Strong Bearish Weekly Break of the Weekly Ascending Trendline. I will be looking for a LH to be made at around 61.8 before going Short.
Target 1: 1.31054 (400-500 pips)
Final Target: 1.2200 (1000+ pips)
I will be looking for shorts if a reversal pattern does occur at 1.6350 and the Daily CTL (Counter-Trend Line). However, if we do break above 1.6350 I will be looking for a pull back into 1.6350 before going long.