GOLD has been in a bullish trend on H4. On weekly, it is still trying to form a bullish trend but at the moment, its still bearish. We will be attempting to short the gold either from the resistance or after the support breakout sell and retest. This will confirm the structure of lower lows and lower highs. Once the support is breached, chances of bearish trend continuation gets high.

The ascending trendline has been broken out for sells, with validation in place. The breakout sell is a strong one and only needs to retrace in order for us to get the short orders.

After the breakout sell, the retracement is a technical element which compliments the breakout. This retracement level will be 61.8% where we will be looking to go short. 

EMA 50 is still bullish and we can set our profit target at the retest of the EMA 50. 

RSI is at 51. It needs to either head towards the over bought region and form a divergence, or, it has to fall below the 50 level mark in order for the market to confirm the bearish structure.

Gold trendline breakout sell

Nov 17 2022