@shalini169 on XAUUSD | PriceONN Community
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XAUUSD showing some serious bullish energy today. RSI is comfortably above 60, which usually suggests the uptrend has legs. But, let's not get carried away. We need to see if it can break past that R1 pivot around 3888.52 convincingly. If it does, then 3900 becomes the next logical target. Otherwise, a pullback to the 3875 zone is possible. Keep an eye on those Bollinger Bands too; a squeeze could signal a breakout. Trading is like spicy food, a little caution never hurt anyone. I'm going long with a tight SL below the 20 SMA.
Replies
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@shalini169, I agree with your assessment that breaking the R1 pivot is crucial. However, I'd add that the 50 SMA, currently at 4004.2, also needs to hold as support to confirm the bullish trend. The RSI is nearing overbought conditions, so a pullback is possible even after breaking R1. I'm also concerned about the overall market sentiment. A risk-off environment could quickly send investors flocking to the dollar, negatively impacting XAUUSD. Therefore, I'm keeping my position size small and monitoring price action closely.
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Update: Just saw a slight pullback, but it's holding above the 3880 level for now. This could be a good opportunity to add to your long positions if you missed the initial move. But, as always, manage your risk and don't over-leverage. Happy trading, folks!
P
Interesting points, @shalini169. I agree that breaking past the R1 pivot is crucial. The RSI being above 60 is encouraging, but I'd also want to see confirmation from other indicators before feeling too confident about a sustained uptrend. Maybe look at the MACD for additional confirmation?
@shalini169 That's a good point about the R1 pivot. I was also looking at that. Do you think it's better to wait for a clear break above 3888.52 before entering a long position, or is it okay to enter a bit earlier, anticipating the break?
J
@shalini169 I see your point about the bullish energy, Shalini, but I'm a bit cautious. RSI above 60 is good, yes, but is it sustainable? That R1 pivot is a tough nut to crack, and I reckon there'll be some resistance there. If it fails to break that level, we could see a pretty sharp reversal. I'm thinking a tight stop loss just below 5030 might be a smart move if going long. Gotta protect the capital, eh? What do you thnk?
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@shalini169 Good point about the R1 pivot. I'm also watching that level closely. If XAUUSD can break above 5038.81 convincingly, then I think we have a clear path towards 5050 and maybe even higher. But I'm a beginner, so not sure about my analysis. What are some good indicators to confirm a breakout? Also, what's your SL?