Gold dived down after the Jerome Powell indicated the rate hike. It was caught by suprirse for the traders and hence, dropped the market massively. We will be taking the short position at the price of 1824, based on the double top at the resistance level along with the bearish pressure sustaining. This will create the formation of lower lows and lower highs. 

There is no trendline and retracement indication as we are taking the position based on the momentum of the market sentiment, which is bearish at the moment.

EMA 50 is bearish, with a flat curve. This indicates that the market may range further before a further decline on the NFP tomorrow. Despite that, we can also see a retest of the EMA 50 at the resistance level which will form a confluence.

RSI is at 40. This means, market has to reach the 50 level benchmark for the market and also tap the resistance in order for the market to create another impulse wave on the bearish side.

Gold short from double top

Mar 09 2023