Usually a breakout above the high or below the low of long legged doji candles leads to further movement in that direction. We have seen a breakout and daily closing below the low of the candle yesterday, and that comes after a retest of areas near the 78.6 retracement level for the overall bearish wave from 1345.00-1131.00.. Add to that a potential double top formation on the verge of breakout confirmation.
In my view, there is a good chance of further downside for gold in the near term after this breakout, Looking for a retest of the red zone around 1250.00.
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Good luck, keep your stops tight..
My best regards
Technician
In my view, there is a good chance of further downside for gold in the near term after this breakout, Looking for a retest of the red zone around 1250.00.
Trade forex with me, check my new website thefxchannel.com/ , vote and subscribe
Good luck, keep your stops tight..
My best regards
Technician
