Gold is bearish on higher timeframes as the structure still remains bearish. Last week, there was a corrective move on gold which pushed it towards the price of 1865. This level was rejected and market started to drop down. Also, the NFP triggered the trend towards the bearish side as the data was strong.  At the current moment, we have a broken support which has now turned into a resistance. This resistance is priced at 1955. We will be looking to short the market at this price. On a longer picture, we still anticipate the gold on a lower side. We will continue looking for shorts until the market shows us bullish direction on the break of the structure. 

The ascending trendline has been broken out for sells inducing the breakout sells. This breakout sell needs to be retraced at the resistance level. This point will be our short selling price. 

There is no retracement factor associated with the resistance level with this setup. We need to assess the fact without retracement at this given resistance level.

Both the EMA's are bearish with a bearish death cross. The EMA 200 was broken out for sells after the fakeout towards the upside. After the breakout sell, EMA 50 was also broken out. Once market retraces back, we may see a correction towards the tapping the resistance level in confluence with the EMA 50. Therefore, giving us another factor to short.

RSI is at 50 and CCI is at 35. This indicates that both the oscillators are near their neutralized levels. With this, we need the oscillators to head towards the bearish region, in confluence with the technical factors favoring the bearish side. 

Looking for shorts on Gold once again

Jun 06 2022

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