Forex Trading Library

Gold remains supported by risk factors

Dips continue to attract buyers

Trade Ideas
By Steve O'Hare
Gold bar
2 239

Technical

Monthly: Potential reverse head & shoulders as prices trade within the monthly ichimoku cloud. A clear break of $1370 is required to confirm the formation. $1300 key support has been breached although losses have been limited.

Weekly:  A possible medium term AB=CD formation has a measured move target of $1450. 2017/18 trend support has been re-tested and has held so far with the low limited to $1282. Weekly Ichimoku cloud provides additional support along with the 61.8% Fibonacci retracement.

Daily: The $1300 level remains very much in focus. Dips continue to attract buyers and the 61.8% Fibonacci retracement level has held firm. A short-term downward trending resistance has broken with sideways price action. Looks to be forming a bottom.

 

Action: We look to Buy at current levels and on a dip to $1285

Stop: A break below $1265

Targets: $1340 & $1365

 

 UPDATE: Long initiated at $1300

UPDATE: Stopped at $1265

Steve O'Hare

Steve has traded and analysed financial markets for over 30 years.
He started on the Baltic Exchange with Cargill Investor Services in 1987 trading Commodities. Following this Steve went on to work in a number of senior trading roles on LIFFE.
From 1995, Steve then traded his own account, specializing in European Fixed Income markets. For many years he ran his own proprietary trading company, facilitating and educating traders.
In 2012 he joined PIA-First and assisted in restructuring the company and help build it into one of the UK’s leading, award-winning independent research houses.

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