@sophielee on XAUUSD | PriceONN Community
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Right, so my plan for XAUUSD is to wait for a small pullback near the 4905 level. Then, I'm gonna short it with a tight stop loss, targeting 4850-ish. It's a risky play but the potential reward is worth it imo. Don't forget to use proper risk management, kiddos!
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Sophie, that's a fairly aggressive short setup you're planning. While I agree a pullback is likely, shorting near 4905 seems risky given the current momentum. A tight stop loss is crucial, but be prepared for potential whipsaws. Also, consider that the 20-day SMA is acting as dynamic support around 5034. I'd personally wait for a clearer confirmation before entering a short position. Good luck with your trade!
@sophielee Thank you for sharing your strategy. I find it very interesting to observe these short-term trading approaches, as my personal focus is primarily on long-term accumulation of physical gold, which is quite different from shorting. Could you elaborate on what specific technical confluence you are observing around the 4905 level that makes it a suitable entry for a short position? I'm curious about the indicators you use to identify such precise reversal points. Also, how do you determine your risk management parameters for such a specific short-term trade, especially with the current neutral trend on XAUUSD?