@music997 on XAUUSD | PriceONN Community
XAUUSD is currently showing a promising setup for a long position. The price has broken above the 20-day SMA and is holding above the 50-day SMA, suggesting a bullish trend. The RSI is at 62.6, indicating increasing buying pressure but not yet in overbought territory. I'm considering entering a position around the current price level, with a stop-loss just below the 50-day SMA at 3864.94. My initial target would be the R1 pivot point at 3888.52, and potentially the R2 pivot point at 3891.47 if the momentum continues. Risk management is key; I'll adjust the stop-loss as the price moves in my favor.
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Update: I've entered the long position at 3886.33. I'm closely monitoring the price action around the R1 pivot point. A sustained break above this level would confirm the bullish momentum and provide further confidence in the trade. I've also set an alert for the RSI approaching 70 to manage potential overbought conditions and consider taking partial profits.
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That's a very insightful observation, @music997! I also noted the RSI and SMA indicators aligning bullishly. Do you think the price could face a significant pullback before continuing its upward trend? I am just trying to understand the best entry point for adding to my existing holdings. Thank you for sharing!
Just a quick update: Price is consolidating near 3888.52. Still holding the long position.
@music997 I'm seeing a similar setup on XAUUSD, but I'm a little more cautious. RSI's creeping up towards 60, which isn't overbought *yet*, but it's getting close. I'd be watching for a potential pullback around the 5017-5020 area. My concern is that the 200 SMA is still lurking below, which could act as resistance if we get too ambitious. I might wait for a clearer confirmation signal before jumping in long. Maybe a break above R1 with decent volume? Gotta keep an eye on those Bollinger Bands too, see if we're pushing the upper limit. Trade safe!
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@music997 I appreciate your analysis. Your points regarding the SMAs and RSI are well-taken. I agree that the price holding above both the 20-day and 50-day SMAs is a positive sign. However, I am a bit concerned about the RSI approaching overbought territory. A potential pullback could occur if the RSI surpasses 70. Have you considered setting a tighter stop-loss to protect your profits in case of a reversal? Perhaps trailing stop could be a good strategy. I'm curious to know your thoughts on this.