Hi guys its Brian here with another short opportunity with Gold XAUUSD.
Gold has previously been on a strong uptrend from 1280 but hit a major strong resistance zone and is now falling back down sharply as seen in the long red daily candle.
Furthermore you can also see Stochastic RSI in the overbought region and coming back down. Same with MACD histogram showing that it has already peaked and coming back down. RSI was also previously in the overbought region where it reached 77 and now coming back down as well.
All strong signs of a reversal to the down side.
Recommended stop loss would be the resistance around 1353 and recommended take profit can be anywhere from 1254 to the support line at 1203.
Good risk to reward ratio here with strong reversal signs.
www.brianchai.com/
Facebook Trading Group
Gold has previously been on a strong uptrend from 1280 but hit a major strong resistance zone and is now falling back down sharply as seen in the long red daily candle.
Furthermore you can also see Stochastic RSI in the overbought region and coming back down. Same with MACD histogram showing that it has already peaked and coming back down. RSI was also previously in the overbought region where it reached 77 and now coming back down as well.
All strong signs of a reversal to the down side.
Recommended stop loss would be the resistance around 1353 and recommended take profit can be anywhere from 1254 to the support line at 1203.
Good risk to reward ratio here with strong reversal signs.
www.brianchai.com/
Facebook Trading Group