Direction Likely: Upward Bias with Short-Term Bullish Potential

Oct 29

Based on the current 1-hour chart analysis and other indicators, the likely direction for XAU/USD (Gold) is upward in the short term.

Gold is likely to move upward toward 2,758-2,760 if current bullish conditions persist, supported by the Ichimoku trend and volume strength. However, watch for any signs of reversal if the price fails to maintain above 2,748, which could indicate short-term exhaustion.Immediate

Outlook:
Primary Bias: Bullish in the short term, with the price likely to move toward the resistance at 2,758-2,760.
Support to Watch: If the price fails to break this resistance, a pullback could test the 2,748-2,750 zone, where the Conversion Line and Leading Span A provide support.


Key Indicators Pointing to Bullish Momentum:

• Price Above the Ichimoku Cloud (Kumo):
  

The price is trading above the Kumo, which is a strong indicator of a bullish trend. The cloud below acts as dynamic support, suggesting buyers are in control.

• Chikou Span (Lagging Line) Confirmation:
  

The Chikou Span is also above the price, further confirming the bullish momentum. When the Chikou Span is positioned like this, it reinforces that the trend has backing and is less likely to reverse in the immediate term.

• Volume and RROF Signals:
  

Volume is above the average, signaling strong buying interest, while the RROF (Rate of Rate of Force) shows green momentum, indicating continued buying pressure. This supports the case for further upward movement.

• Key Resistance and Target Levels:
  

The nearest resistance level is around 2,758.34, marked by previous highs and a Fibonacci extension target. If the price breaks and holds above this, we could see it pushing towards the next target at 2,761.

Long Entry: 2,748.50
TP1: 2,755.00 (127.2% Fibonacci extension, aligning with upper resistance levels)
TP2: 2,758.50 (reaching the 161.8% Fibonacci level)
SL1: 2,745.50 (below Ichimoku Base Line and within the Kumo support on the 1-hour chart)
SL2 Trailing: Move to 2,749.00 once TP1 is reached