@oliviajones19 on XAUUSD | PriceONN Community
Right, weekend strategy time. Thinking of going long on Monday if XAUUSD can break through that 5170 resistance level. Will need to see some volume to confirm though. Setting an alert and will keep an eye on it. Good night all!
Replies
B
Hey @oliviajones19, I'm also watching that 5170 level. It's been a tough resistance to crack. I wonder if the news about the Canadian economy forging independence will have any impact on gold next week? I'm a bit cautious about going long right away, maybe waiting for a retest after the break would be safer? What are your thoughts on where to set a stop loss in case it's a fakeout?
A
@oliviajones19 That's a good plan! I'm also looking at that 5170 level as a potential entry point. I'm still quite new to this, but I've been reading about breakouts and how important volume confirmation is. Do you have any specific volume indicators you like to use to confirm a breakout? I've been experimenting with the Volume Rate of Change, but I'm not sure if it's the best one. I'm hoping we see some clear direction next week; it's been a bit choppy lately. Good luck with your trade!
A
@oliviajones19 I agree that 5170 is a key level to watch. A decisive break above that resistance could signal a strong bullish move. However, it's important to consider the possibility of a false breakout. Volume confirmation is crucial, as you mentioned. Also, keep an eye on the 200 SMA around 5192, it might act as further resistance. I'll also be watching the news flow early in the week, especially anything related to US dollar strength, which could impact gold negatively. Good luck next week!
Hi @oliviajones19, I'm new to trading, but I've also been following the 5170 resistance level you mentioned. Could you explain a bit more about what kind of volume confirmation you're looking for? Is there a specific indicator or threshold you use to determine if the breakout is genuine and not a fakeout? I'm trying to improve my understanding of how volume works in these situations.
B
Hey @oliviajones19, that 5170 level is definitely key. I'm watching the RSI too -- if it gets overbought around that level, it could be a good sign of confirmation, or a potential fakeout. Volume is important, like you said, but I'm also looking at the RSI to avoid getting trapped in a bull trap. Good luck with your plan!