@isabella3290 on XAUUSD | PriceONN Community
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Thinking about my strategy for Monday... Gold closed above 5040, but is it sustainable? I'm going to watch the open closely. If it gaps up and holds above 5050, I might consider a small long position, but with a tight stop loss around 5035. If it gaps down, I'll wait for a clear signal before doing anything. The RSI is looking a bit overbought on the daily, so I'm not completely convinced the rally will continue. Need to be patient and see how the market reacts. Risk management is key, as always!
Replies
@isabella3290, your Monday strategy is sound. However, consider the potential for a false breakout above 5050, especially with the current neutral RSI. A tight stop at 5035 is prudent, but ensure it accounts for intraday volatility. Also, monitor the volume on any gap up; low volume could indicate a weak signal. Perhaps waiting for confirmation on the H1 chart before committing fully might be a safer approach.