ridethepig | XAU Market Commentary 2020.03.20
This swing illustrates my idea of the "two jurisdictions" in a particularly striking fashion.
As though playing at odds, to use the infamous expression. By this I mean the choice of a variation, which you yourself do not necessarily have to consider a good one. The premise consists of setting your opponent a difficult problem, or distraction. And Gold is the virtuoso of it. This is the reason some think that inflation (or rather deflation) is the Achilles heel moving forward. But, as I have said, on a misconception if risk shows no signs of abating.
This move back towards the highs in the virus panic range (1700 - 1450) plays at the right moment in my books. But if buyers are obstructed via further liquidations; this represents quite a dark side to the idea:
The next move raises the stakes; because Gold has taken its time in developing the $1700 handle, whereas a cramped $1500 should have special claim to be cautious! And yet, buyers have not yet passed the point of no return, they are refusing to capitulate after which it becomes impossible to breakdown.
Hard to understand; a better way try was profit taking from the Santa Rally:
To be clear, another test of the highs is now being prepared. As long as $1510 support holds we can see a leg towards $1630 with $1700 extensions again (anything beyond was previously locked via Coronavirus but now spillovers are starting to enter into the picture as globalisation shuts down). Continue to play both sides of this incredibly wide range, big figures are taking place in a matter of minutes; the European session has held the lows and tells us that where risk sentiment in the market is right now. Please manage expectations accordingly.
Thanks as usual for keeping the likes, comments and support coming! Jump in with your charts and questions!
As though playing at odds, to use the infamous expression. By this I mean the choice of a variation, which you yourself do not necessarily have to consider a good one. The premise consists of setting your opponent a difficult problem, or distraction. And Gold is the virtuoso of it. This is the reason some think that inflation (or rather deflation) is the Achilles heel moving forward. But, as I have said, on a misconception if risk shows no signs of abating.
This move back towards the highs in the virus panic range (1700 - 1450) plays at the right moment in my books. But if buyers are obstructed via further liquidations; this represents quite a dark side to the idea:
The next move raises the stakes; because Gold has taken its time in developing the $1700 handle, whereas a cramped $1500 should have special claim to be cautious! And yet, buyers have not yet passed the point of no return, they are refusing to capitulate after which it becomes impossible to breakdown.
Hard to understand; a better way try was profit taking from the Santa Rally:
To be clear, another test of the highs is now being prepared. As long as $1510 support holds we can see a leg towards $1630 with $1700 extensions again (anything beyond was previously locked via Coronavirus but now spillovers are starting to enter into the picture as globalisation shuts down). Continue to play both sides of this incredibly wide range, big figures are taking place in a matter of minutes; the European session has held the lows and tells us that where risk sentiment in the market is right now. Please manage expectations accordingly.
Thanks as usual for keeping the likes, comments and support coming! Jump in with your charts and questions!
Comment:
Looking good here...
Comment:
Nice moves here today, well done buyers!
Comment:
Trade closed: target reached
Comment:
We can open up a fresh call with Gold later today... for those tracking the current flows:
