This is a counter trend trade, I dont Like counter trend trades but i couldnt resist the temptaion that with rising bonds yields more investors will be tempted to try the 'insurance' against inflation method of purchasing gold.

Its also not all that unattractive a position from a technical perspective. price is close to support in a downgoing trend channel. This provides an opportunity with a risk reward that I can stomach for a counter trend position.

If it was any further away from support I wouldnt consider the position, I have also set my stop only at the previous swing low, so I am not aiming to capture the entire range.

XAUUSD Counter Trend Long

Mar 04 2021

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