As you must already know, the direction of Gold is mainly dependent on the Price action of DXY (US Dollar index). So first, we take a look at the US Dollar index.
GOLD: bulls showed weakness
2019-11-11 • Updated
TP $1250 TP2 $1235 TP3 $1224
On the daily chart, the second attempt of bulls to return the quotes inside the previous medium-term bullish channel failed. If bears manage to let gold outside the short-term bullish channel and then pull the price below support at $1250 an ounce, the odds of reaching 88.6% target of the Shark pattern will strengthen.
On H1, bears still have a chance of the “Widening wedge” pattern. For that, there’s the need of successful test of support at $1267 and $1252.
A comparative examination of the strength of the US-Dollar often gives tangible insight into the direction of Gold (XAUUSD). The chart above indicates the expectation of a bullish price reaction from the demand zone.
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