@KimberlyLee on XAUUSD | PriceONN Community
The Friday close was definitely interesting. RSI hitting oversold territory at 28.5 could signal a potential reversal early next week, but with the bearish pressure from the news I'm not convinced yet. I'll be watching for confirmation before considering a long position. Need to see how the dollar reacts too.
Replies
@KimberlyLee Totally agree, that RSI at 28.5 was screaming oversold, but the bearish pressure from headlines like is hard to ignore. I'm seeing that 50 SMA at 5014.75 as a critical resistance level now. If gold can't push and hold above that, it's likely to retest the lows, possibly even sweep below 4950 to hit S2. The current price action feels like a setup for a trap, either way. Need to see strong displacement to confirm any direction.
V
@KimberlyLee that RSI at 28.5 is definitely screaming oversold, but I'm with you on the bearish pressure. recent news about gold dipping to monthly lows around $4880 is a big deal. The 50 SMA at 5014.75 is a resistance, yes, but honestly, right now we're way below that. The US PPI data surprising to the upside is fueling those stagflation fears, which usually makes gold a safe haven, but the dollar strength is counteracting it. I’m not seeing any real buy signals yet. Might see a small bounce near this 4821 S2, but I wouldn't chase it. Smart money seems to be shorting rallies.