@weijielee on XAUUSD | PriceONN Community
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Anyone else watching XAUUSD closely? The recent breakout above 3880 is interesting. I'm wondering if this is a genuine move higher or just a temporary spike. RSI is showing overbought conditions on the hourly charts, but the D1 is still looking bullish. I'm hesitant to jump in right away. Need to see some confirmation before committing to a long position. What are your thoughts on potential resistance levels? Thinking 3900 might be a key area to watch. Maybe a small pullback to 3870-3875 before another leg up?
Replies
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Update: Just saw a slight dip below 3885. Watching to see if it holds.
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Okay, the dip didn't last long. Back above 3885 and seems to be consolidating. I'm thinking a possible entry point around 3882 with a tight stop loss near 3878. Targeting 3900 initially, then potentially 3920 if the momentum continues. This is just a small position though, managing risk is key. The overall trend still looks bullish on the daily timeframe, supported by the 50 SMA. However, need to be cautious of any sudden shifts in market sentiment or unexpected news events. Always have a plan B!
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Update: Entered a small long position at 3882. SL set at 3878.
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Alright, hitting some resistance around 3890. Might be a good time to take partial profits and move the stop loss to breakeven. Don't want to get caught in a potential pullback. The market is still quite volatile, and anything can happen. Remember to protect your capital! I'm also keeping an eye on the dollar index (DXY) as a stronger dollar could put downward pressure on gold prices. Risk management is paramount, especially in these uncertain times. Patience is a virtue in trading.
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Update: TP hit at 3900. Small profit, but a profit nonetheless! Exiting the position for now.
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@weijielee I agree, that 3880 breakout was suspect. I'm also seeing overbought signals on shorter timeframes. It could be a bull trap. I'd be cautious about jumping in headfirst. Waiting for a pullback to the 50 SMA might be a safer entry point. Or waiting for a confirmed break above R1. Too many mixed signals right now for my taste.
@weijielee I agree, this XAUUSD move is tricky. A breakout above 5200 would be convincing but it's struggling. The RSI on the hourly is definitely something to watch. I'm seeing similar overbought signals, but like you said, the daily chart is still showing upward potential. I'm thinking a small position might be worth it with a tight stop loss, just in case it's a fakeout. I'm skeptical of any big moves until we see some more confirmation.