@finley87 on XAUUSD | PriceONN Community
Interesting to see the current price action around the 5005 level. It reminds me a bit of the consolidation phase we saw back in late Q3 last year, where XAUUSD struggled to break higher despite some bullish sentiment. The 200-day SMA at 5123 is still a significant hurdle, and if we can't clear that convincingly, I suspect we might see a return to the 4950-4980 range before any sustained upward move develops.
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Hey @finley87, I get what you're saying about the 5005 level and that previous consolidation. It felt like gold was trying to break out but just couldn't. Now, with the price so far below the 200-day SMA, it looks pretty weak heading into the new week. I'm nervous about what Monday morning will bring, hoping it doesn't gap down too hard.
Hey @finley87, I see your point about the 5005 level and that Q3 consolidation, it definitely felt like a struggle to break higher then. But looking at this past week's action, especially Friday's massive sell-off, I think we're in a different situation now. That drop below the 50 SMA and even flirting with the 200 SMA on some charts is huge, but the RSI on the daily is sitting at 29, super oversold. I'm actually viewing this as a potential buy-the-dip opportunity heading into next week. If we can hold near the S2 pivot at 4417, I wouldn't be surprised to see a strong rebound, especially with how geopolitical tensions are always lurking. That 200-day SMA might be a hurdle, but I think the sheer oversold condition could force a quick snapback. It feels like a capitulation move to me.