XAUUSD - Sell Position

Someone asked how I took this position. Let me explain the different reasons:

1. Two Bullish Legs: During the Asia session, XAUUSD formed two bullish legs. This suggested a pullback to the previous pivot level, even if it continues to rise in the London and NY sessions.
2. Bearish Flag Pattern: The trading range resembled a bearish flag, indicating a likely reaction and decline from this resistance zone.
3. Weakening Momentum: In the 5m chart, the three pushes up at the end of the second leg showed signs of weakening momentum, pointing to increased selling pressure. This signaled a high probability of a pullback.

These observations combined led me to anticipate a decline, making this position a strategic move based on technical analysis.