GOLD Shorts (from 2390 back down towards 2320)
My gold analysis suggests potential selling opportunities either from the current price level or at 2390. This decision is influenced by the fact that price has now entered a strong 8-hour supply zone, which is at a premium level. Additionally, despite the bullish momentum observed in price recently, there has been a noticeable slowdown in momentum on lower time frames, particularly noticeable on Friday.
I'll be particularly attentive to a liquidity sweep around the 2390 level, where the Asian high resides. Once this liquidity is absorbed, I'll be actively seeking favourable selling positions aiming towards the next demand zone. This approach aligns with my broader view of the gold market, which is currently bullish.
Confluences for GOLD sells are as follows:
- Price has slowed down after an impulsive move last week indicating a correction.
- Price is inside an 8hr supply zone and wyckoff distribution is playing out.
- Imbalance and liquidity below that needs to get mitigated.
- Demand zone on the 19hr around 2320, looking interesting for the next rally.
P.S. Should gold break through this entire supply zone and access the liquidity above next week, I'll adopt a strongly bullish stance. My focus will primarily be on identifying nearby demand zones to initiate buy positions.
Have a great trading week guys!
I'll be particularly attentive to a liquidity sweep around the 2390 level, where the Asian high resides. Once this liquidity is absorbed, I'll be actively seeking favourable selling positions aiming towards the next demand zone. This approach aligns with my broader view of the gold market, which is currently bullish.
Confluences for GOLD sells are as follows:
- Price has slowed down after an impulsive move last week indicating a correction.
- Price is inside an 8hr supply zone and wyckoff distribution is playing out.
- Imbalance and liquidity below that needs to get mitigated.
- Demand zone on the 19hr around 2320, looking interesting for the next rally.
P.S. Should gold break through this entire supply zone and access the liquidity above next week, I'll adopt a strongly bullish stance. My focus will primarily be on identifying nearby demand zones to initiate buy positions.
Have a great trading week guys!