Golden Cross, Overbought Conditions, and Key Resistance Ahead!

4 giorni fa

XAUUSD Multi-Timeframe Analysis

Price is above all moving averages, indicating an uptrend. A Golden Cross is forming near the 2656 level, suggesting bullish potential. However, caution is advised as the price is near strong resistance, which may cap upward movement. For a potential correction, the price target is 2656.

The monthly RSI is overbought at 80.07, indicating a potential long-term pullback. The weekly RSI is mildly bullish at 65.45, while the daily RSI is neutral at 58.62. The 4-hour RSI is overbought at 76.36, signaling a possible pullback. The 3-hour and 2-hour RSIs are extremely overbought, with bearish divergence, reinforcing a likely near-term correction.

The price is approaching a critical resistance zone, where sellers may enter. Weak volume across timeframes suggests a lack of buying conviction, and if volume remains weak near resistance, a reversal or consolidation could occur.

Actionable Insights:
Caution is advised due to overbought conditions and weak volume. Watch for price rejection at resistance for a potential pullback. If the Golden Cross is confirmed, ensure volume picks up to sustain the move; otherwise, the breakout may be short-lived. A pullback or reversal is likely, especially near resistance, with the price target for a correction at 2656.

key levels:
Ultimate Resistance: 2734.375
Major Support, Pivot Point: 2656.250
Ultimate Support: 2578.125

Reminder: Always follow your risk management strategies and trade responsibly.

Disclaimer: This analysis is for informational purposes only and does not constitute financial advice. Always conduct your own research before making any trading decisions.

Happy trading!

3 giorni fa

Trade chiuso: obiettivo raggiunto

As I forecasted, the price was rejected and dropped to 2658, just shy of our target at 2656.