Closing my Selling order / #38 Profits row

26. Sept. 2022

As discussed throughout my Friday's session commentary: "My position: My yesterday's session Selling order hit the #11 point Stop-loss (currently on #37 Profits row and #7 Stop-loss hits regarding April - September cycle), I have remained on sidelines awaiting another chance to re-Sell Gold regarding the Short-term. I have engaged new Selling order (#1,672.80 as an entry point), Targeting #1,652.80 psychological mark. Since my order is in decent Profit, I will move my Stop-loss on breakeven and practically have risk-free Trade on my hands. Gold is under total Selling domination and use every chance to Sell every Top / rise that Gold delivers.


I have closed my Selling order Intra-day (#1,672.80 - #1,652.80) on a fine #20 point Profit run and extended my results range to #38 Profits row and #7 Stop-loss hits regarding April - September cycle. Gold is slowly approaching my desired levels.


Fundamental analysis: Expected Price-action devaluation and aggressive takedown came as no Technical surprise as is representing Fed’s repurchase agreements aftermath (almost all Money supply chart’s on ATH). Despite current configuration and from a Technical standpoint, Daily chart is showing a wide Descending Channel with detectable Lower Low’s and Higher Low’s, able to convert into a historical Selling sequence (as I announced it many times throughout my analysis). I do not see Bullish Short-term trend (recovery) as sustainable, unless #1,682.80 barrier breaks (slim chances). Long-term, the developments are there to support an strong downtrend. Fundamentally, deflation of DX would be temporary and would likely produce the kind of fiscal and monetary policies to revive growth. The post-crisis environment might not (as is traditionally) be Gold friendly, like the recovery from the financial crisis. With hawkish Fed aftermath and other hedge assets against Inflation, I see no reason why Gold shouldn’t pierce the #1,600.80 Selling extension.


Technical analysis: With Hourly 4 chart now turning merely Neutral, Gold is close to my desired vicinity as mentioned on the #2 previous posts, configuration which is pointing to #1,600.80 variance since #1,633.80 got tested and invalidated (as expected). This is an Three Drives pattern and if the identical TDP pattern of February #24th - March #11th is replicated, then I can expect a #1 session upswing to Upper levels, followed by a Selling breakout below #1,633.80 configuration. Don’t set aside that crucial level is Hourly 4 chart’s strong Support on #1,633.80 - it is important to monitor will the Price-action break the Support zone (#1,633.80 - #1,627.80) or reject the sequence on the next attempt. The correlation of Gold with DX is very strong (and diagonally correlated). It is important to note that huge Institutional capital are currently operating with heavy Selling orders (Selling every High), as Gold is on steep multi-Month Descending Channel. On Medium and Long-term, I am expecting #1,588.80 and #1,452.80 in succession.


My position: As I have booked excellent Profits throughout Friday's session, I will not jump the gun and engage additional Selling order (even though I am Bearish on Gold regarding both Short and Medium-term). I will comfortably await the Price-action to extend mini recovery and Sell Gold from upper levels or on Support zone break (both Targeting #1,600.80 psychological mark). Indeed current Selling sequence on Gold brought excellent Trading results.