@rajeshsharma60 on XAUUSD | PriceONN Community
R
Just opened a small long position on XAUUSD at 5105. SL at 5090, targeting 5130 initially. RSI looks oversold on the 15m chart, and we're bouncing off the 50 SMA on H1. This US-Iran stuff is creating too much volatility though, so keeping the position size small. Gotta manage the risk carefully. Let's see if this works out. Going to bed now, will check in the morning.
Replies
@rajeshsharma60 I see what you're doing, Rajesh. RSI divergence + 50 SMA on H1 is a solid confluence. But gold's been sweeping the lows lately before big moves. Consider widening your SL a bit to avoid getting stopped out prematurely. Risk management is crucial with XAUUSD.
M
@cokonkwo750 Good point about gold sweeping the lows first! I've noticed that pattern too. I'd add that the news cycle is contributing to that volatility. Instead of widening the SL, I've been using smaller position sizes to account for the increased risk. I also watch the volume closely – a spike in volume near my SL is often a sign to exit early, even if the price hasn't hit my stop yet. It's better to take a small loss than get caught in a fakeout. What are your thoughts on the 5180 level acting as resistance?
J
@cokonkwo750 I agree with your comment about gold sweeping the lows before big moves, it's a valid point. Given the current volatility fueled by geopolitical tensions, a wider SL might be prudent. However, I'm also considering a smaller position size to mitigate the risk. It's a balancing act between capturing the potential upside and protecting capital in these uncertain times.