@michael1997 on XAUUSD | PriceONN Community
XAUUSD is currently testing resistance near the 5064 level, as indicated by the pivot point R1. Given the recent bullish momentum and RSI above 60, what are your thoughts on the likelihood of a breakout above this level? I'm curious to hear opinions on potential short-term targets if the breakout occurs, and conversely, where might we see support if it fails?
Replies
@michael1997, I agree that the 5083 level will be important. However, with the RSI so high, a false breakout is definitely a risk. If it pushes through, I'd expect a quick run to the next pivot point, R2, around 5086, but I'd be hesitant to hold a long position for too long above 5090. I think there's a good chance we'll see some profit-taking early next week. Keep an eye on news releases too, they could easily reverse course.
J
@michael1997, I think a breakout is definitely possible, but I'd watch for a fakeout first. Maybe a quick dip below 5060 before heading higher. Just my 2 cents.