After hitting the resistance zone of 1960 (Resistance zone 2), created in November, and after making the 3rd touch on the lower trendline of the ascending channel, GOLD started a move to the downside, breaking that same channel and hit 1830 (Support zone 2).
Before entering any positions, you should take this into consideration:
-Price broke below the 20 and 50 EMA's;
-The 20 EMA just crossed the 50 EMA, indicating a possible continuation of this move to the downside;
-Price might want to retest the channel or, at least, the EMA's before continuing this move to the possible target of 1770 (Support zone 1) ;
However,
-RSI is oversold on the 4H chart;
-Price is rejecting the support zone 2;
-Before entering any short position, wait for the abovementioned retest or a consolidation around support zone 2;
-In the case of a consolidation around that level, wait for a break of that support before entering a short position.
Before entering any positions, you should take this into consideration:
-Price broke below the 20 and 50 EMA's;
-The 20 EMA just crossed the 50 EMA, indicating a possible continuation of this move to the downside;
-Price might want to retest the channel or, at least, the EMA's before continuing this move to the possible target of 1770 (Support zone 1) ;
However,
-RSI is oversold on the 4H chart;
-Price is rejecting the support zone 2;
-Before entering any short position, wait for the abovementioned retest or a consolidation around support zone 2;
-In the case of a consolidation around that level, wait for a break of that support before entering a short position.