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Thinking about my XAUUSD strategy for Monday. The close was quite bullish, but that RSI is making me nervous! I'm wondering if a short-term pullback might be a good entry point for a longer-term buy. Need to decide where to set my stop-loss if I do that. Any thoughts on good entry points?
Update: I'm leaning towards waiting for a pullback to around the 5080 level before entering a long position. That's roughly where R1 is, so it could act as support. I'll set a fairly tight stop-loss just below the 5072 level (S1), just in case. I'm also considering using a smaller position size than usual, given the overbought RSI. It feels like there is more risk than usual. What do you think of this approach?
