If Gold don't recover #1,900.80. (#1 session), #1,833.80 is next

Gold's general commentary: Since the #1,857.80 breakout point was compromised, the Price-action Naturally spiked to the #1,875.80 Zone mentioned on the previous commentary. Based on the #3-Month Higher High sequence, this zone is the new High (possible pricing a Top here, temporary or not) and as both the Hourly 4 chart and Daily chart are critically Bearish and does not look so good for Buyers, I should Naturally expect a correction within #2 sessions as Wall Street opening Bell could offer Low Volumed candles without much action. The Technical answer is the Hourly 1 Support near #1,865.80, which has been always touched after every Higher High rejection. As discussed, don’t be surprised if you see thin Volume throughout today’s session as Investors are on sidelines waiting for how market will digest FOMC minutes and only then make their move. Gold is kept Higher on pure Fundamental gradient and weak DX (on a parabolic downtrend) but this state has to end sooner or later and Gold should continue it’s Bearish trend and connect with the fair Technical Price near #1,817.80.



Fundamental analysis: The turmoil with the Inflation in U.S. causing Investors turn to capital from Bond Yields for traditional safe-havens protection (Gold), thus causing Gold to gain value / peak. That is the strongest correlation driving Gold at the moment. Fundamentally though Gold is Bullish and cannot overcome such patterns as it is overreacting to every DX and Bond Yields movements. Below #1,865.80 strong consolidation Rectangle breaks and Price-action enters aggressively into the final phase towards Gold's historic Low’s. However, if #1,880.80 (was Support and now is Resistance) breaks, it will be quick spike towards the #1,900.80 psychological barrier on Daily chart, and such outlook will provide me with additional Selling opportunity / entry in my favor. If #1,865.80 breaks, expect #1,844.80 test within #1 session as panic hits the market towards closing.


Technical analysis: Gold continues to Trade within Hourly 4 chart consolidation Rectangle, holding tightly the #1,865.80 pressure point as an Support (see how it held today on the exact spot). Assuming this pattern continues, then the current market sentiment represent an additional solid Buying opportunity towards the #1,900.80 psychological barrier, as Fed remained the same interest rates (Risk sentiment is off the markets so safe-haven assets such as Gold should rise), which should add Selling pressure on Bond Yields and DX (my strongest correlation at the moment). That being said, if #1,880.80 breaks throughout today’s session, I will pursue #1,900.80 psychological barrier instantly with my Buying order. There is only one Support left towards #1,827.80, which is currently Trading on #1,865.80 configuration. I’ve been highlighting the #1,900.80 potential, and I assume with current market overview, Gold may test it within #2 sessions. After the Higher High extension, it is anybody’s guess but my estimates show #1,800.80 test on the aftermath.


My position: As discussed above, Gold is now both decent Selling and Buying opportunity, and it is a question which side will prevail. I suggest Traders with smaller margins to keep away from the markets, as Bond Yields Volatility (and Crypto market under huge pressure due to regulatory risks), can turn market both ways. However, I will Trade the breakout with Lower Volume and looking to continue the row (#5 Profits and #1 Stop-loss hit regarding month May). I will Sell on spot if #1,865.80 breaks (calling for #1,844.80 extension), and Buy if #1,880.80 breaks (calling for #1,900.80 extension). If Gold don't recover #1,900.80 this week, I expect aggressive correction early next week.