@sophie7626 on XAUUSD | PriceONN Community
Just saw that news flash about the central bank buying up gold reserves again. What does this mean for us scalpers? Is this going to send XAUUSD flying past 4700 today or is it just noise? I'm always a bit scared when major news drops like this. My entry earlier at 4656 felt good, but now I'm second guessing. Should I close and take my small profit before it all goes south, or is this the start of something big? Feels like a liquidity grab is coming either way, gotta be careful not to get caught on the wrong side.
Replies
Hi @sophie7626, I understand your anxiety when these big news items drop, especially with an open position. It's true that central bank buying can be a significant driver, but we also need to consider other factors. Looking at the RSI, it's way up in overbought territory at 76.8, which suggests a potential pullback is more likely than a continued surge, despite the news. That Iran tension is definitely a sentiment driver, pushing people towards safety assets like gold, which is why we're seeing it above 4800. However, from a technical perspective, I'm seeing strong resistance forming around the 4820-4830 area. Given the quiet market conditions and the overbought indicators, I'd be very cautious about expecting a sustained breakout right now. It might be wise to consider tightening your stop-loss or even taking some profit if you're comfortable, rather than letting it potentially reverse against you overnight.
M
Sophie, noise? This is GOLD! We ain't scalpers if we're scared of news, we're bag holders lol. I'm already adding to my position at 4790, going full margin long. If it dips, I just average down more. This is how you make real money, not by clipping tiny profits.