Sell order active / Gold on expected Selling sequence

Gold's general commentary: Price-action was pushed towards the Daily chart’s Resistance zone of #1,952.80 benchmark and even broke it, but taken a pause near #1,960’s, showcasing strong durability. That was of course Fundamentally attributed to Fed expectations aftermath and DX way below the Hourly 4 chart’s Support zone (near Lower Low’s Upper zone fractal), but Technically as discussed, it is a direct consequence of the inability of Gold to break the Hourly 4 chart’s former Descending Channel’s Target of #1,900.80 extension, and the rejection on the Higher High’s Lower trendline of the Hourly 4 chart (which marginally turned Bullish again fueled by Fed) for the first time since January #16. I have been pointing out a lot the importance of keeping an eye on the DX (especially throughout yesterday’s session with the Fed outcome aftermath and announcements being released) which was clearly on the Bottom of it’s Daily chart’s Descending Channel, so again huge surprise for the current Selling extension / drop in continuation on DX (diagonal correlation between the two). According to my estimations, Gold should already be positioned below #1,900.80 benchmark already, but market speculators are stalling Gold’s decline (what I have been expecting for at least #4-session spree) as Investors are awaiting NFP announcement.


Technical analysis: Selling sequence which I expected throughout Wednesday’s session, occurred yesterday and Naturally, due to also yesterday's session aggressive takedown, Hourly 4 chart is switched from Bullish to Neutral (all this configuration happened just within #2-session horizon). On a sidenote, Gold isn’t overcoming another bullish DX session, however Bond Yields were taking strong hits. Main sign of Volatile markets are Bond Yields near the Daily chart’s Support, meaning that market moves sideways (ranging). What I don't appreciate about yesterday's uncontrolled decline is that it is in divergence with both the violent Volatility on on DX (# +0.53%) aswell as on Bond Yields (US 10Y at # -0.27%). Such strong values should have put Gold much Lower than today's session configuration (even below #1,900.80 benchmark). It seems to be more correlated with DX rather than Bond Yields in particular, which are also testing recent Low’s (hence Gold testing local Low’s aswell). As a result if you are looking for pointers focus on DX. Right now, Technicals, corrections - are giving nothing but small accuracy / reliability patterns and Fed mixed situation is taking control of all aspects which remains sole reason why market is still not under normal conditions. I give more probability to going back to the Daily chart #1,900.80 benchmark but I wouldn't take any huge risks now. Gold re-tested and was again rejected on the #1,910.80 Hourly 4 chart’s Support, keeping the Medium-term Bullish bias alive. The Engulfing Bearish reversal candle on Hourly 4 chart succeeded at rejecting the Resistance and catching already the #50% Fibonacci level. I expect the last candle to test again the #1,900.80 main Support. Personally, Buying seemed strongly limited, especially with relief rally on DX, near #1-Month Resistance zone, Bullish and Bearish spikes are inevitable. If #1,910.80 breaks (and market closes below), Buying Short-term pattern is invalidated, while #1,900.80 remains strong Support, and break and market closing below, invalidates Bullish Medium-term potential. Gold is looking vulnerable since there is only #1 Support towards #1,900.80 Support zone which can shift Gold from Bullish to Neutral on Medium-term, while upside has #4 Resistances within #30 points. More times than not lately, Gold firstly removes portion Buyers or Sellers from the market and delivers major move throughout Asian session. As a side note, Wednesday’s Fed developments were far from simple logic however nothing I could do except to adjust.


My position: I have engaged my Selling order with #1,914.80 as an key entry point, with #1,892.80 Support extension as my optimal Target. NFP announcement is planned just within few hours, as according to the statistics (#11 negative and #17 positive surprises in the past #28 readings). I don't expect NFP to deliver forecast less than expected and this is surely the crossroads for Gold's Short-term, so realize the significance of #1,900.80 psychological benchmark. Be aware that I am operating with strict Risk management and that every time that Gold Trades against me, the loss is not so significant while I am looking at #15 - #20 point Profit range on every order I engage.