Gold Long Opportunity: Descending Channel Breakout on H4

Oct 11, 2024

I'm currently observing a bullish opportunity on gold with a descending channel formation on the H4 chart. A breakout above the channel could signal a strong reversal, providing a potential long entry.

Trade Setup:

Timeframe: H4
Entry: On a confirmed breakout above the descending channel
Targets:
First target at the 127.2% Fibonacci level (2707)
Second target at the 161.8% Fibonacci level (2735)
Stop-loss: Just below the breakout point or at recent swing lows, adjusted for volatility

Stay alert for a confirmed breakout as price action could trigger a sharp upward move toward the Fibonacci targets.

Oct 14, 2024

Trade active

The anticipated breakout above the descending channel on the chart has occurred, confirming bullish momentum in gold. Now, I'm watching for a potential retracement to provide a better buy entry. A retracement to key support levels or Fibonacci retracement zones (38.2% or 50%) could offer an optimal buy opportunity.

Oct 18, 2024

Trade closed: target reached

The gold trade has successfully reached the first target at the 127.2% Fibonacci extension following the breakout from the descending channel. Bullish momentum remains strong, driving the price toward the next potential level.

With the first target hit, we now look to manage the trade and focus on the second target at the 161.8% Fibonacci extension.

Oct 21, 2024

Trade closed: target reached

Gold Trade Complete – Second Target Reached, Preparing for Short Setup

Gold has now reached the second target at the 161.8% Fibonacci extension. With both the 127.2% and 161.8% targets hit, I am now shifting focus to a possible short-selling setup in the near future.