Seeing a potential hammer forming on the H4 chart for XAUUSD. Could signal a reversal if it confirms in the next few hours. RSI is already oversold, so might be a good buying opportunity if it holds. Gonna keep an eye on it 👀
@BrandonCyclist, I see your point about the potential hammer on the H4, and the RSI is indeed showing oversold conditions. However, given the current market sentiment, especially with the geopolitical tensions still simmering, I'm a bit hesitant to call it a strong reversal signal just yet. The longer-term MAs are still quite bearish, as @C_Davis pointed out in another thread. I'd prefer to see a clear break above resistance, perhaps around the 5020-5030 area, and confirmation from increased volume before considering a long position. The recent news about oil prices also adds a layer of complexity, as higher energy costs can sometimes lead to a stronger dollar, which is typically a headwind for gold. I'm watching the 50-day SMA at 5019 as a key level to monitor for now.
