Gold is facing a high support area (about 1275). Support area consists of :
1. The main trend line (Red).
2. EMA (200) (Blue Curve)
3. Fibo Retracement of 38% (Not drawn to keep chart simple)
In my opinion we should wait till we out of this area. If price breaks down this area we expect the down trend to continue.
But if price moves up, we expect the price limit is the upper triangle side, and we can wait until the upper triangle side break to say that new up trend is starting.
As the price touching this area, keep eyes on candles behavior, some retracement signals may appear.
1. The main trend line (Red).
2. EMA (200) (Blue Curve)
3. Fibo Retracement of 38% (Not drawn to keep chart simple)
In my opinion we should wait till we out of this area. If price breaks down this area we expect the down trend to continue.
But if price moves up, we expect the price limit is the upper triangle side, and we can wait until the upper triangle side break to say that new up trend is starting.
As the price touching this area, keep eyes on candles behavior, some retracement signals may appear.