What lies ahead for gold?
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.
USD/JPY: the yen breaks the trend
2019-11-11 • Updated
Recommendation:
SELL 112.6 SL 113.15 TP1 111.6 TP2 110.6 TP3 109.25
On the daily chart of USD/JPY, bears try to move the pair out of the triangle and lower border of the upward channel. If they manage to succeed, the implementation of the "Three Indians" and 1-2-3 patterns' combination will happen. It will help bears to count on the break of the bullish middle-term trend and to continue pulling the pair towards the 88.6% target of the "Shark" pattern.
On H1, if the pair breaks the support at 112.6, it will increase the risks of the fall further towards the 127.2% and 161.8% targets of the AB=CD and "Crab" patterns.
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The trend in the scenario above is clearly bearish. We have also had a recent break of structure at the marked horizontal arrows, which means we can expect price to react from the supply zone that broke the structure.
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