XAUUSD 1H - FOMC!

Gold is following our plan, not exactly but close enough. One can never predict exact levels or movements, it comes down to the highest probability. The chart and analysis here is only applicable for the FOMC event later today. Please have a look at our Daily KOG report and other published analysis for further clarification and our thoughts on the markets.

We can see what could potentially be a breakout and an Adam and Eve forming on the 4 hourly. This suggests to us that there are two very important levels here to look out for, 1793 and 1808. We can see from today's ranging movement we're already moving within this range. We have drawn a small box on the chart (1808 level) to indicate where we feel this could resist and shouldn't break above before FMOC for the price to face some bearish pressure first!

There are indications on the chart that suggest a move down towards the lower support levels first to grab some liquidity, then potentially to resume the upward trend to the levels we've been looking for over the last few weeks. We have a bullish Excalibur target on Silver so we're expecting a bit of a shakeout first then Gold to follow Silvers lead. If you remember our DXY chart we published a few weeks ago we were looking for lower levels on the Dollar, could FOMC be that trigger? We have to wait and see! We posted the long trade idea earlier in the week with a detailed plan, this analysis, although only relevant for FOMC works well with our overall view of whats come on Gold.

Key levels:

Support:

1803
1797
1793
1787
1785
1766

Resistance:

1808
1813
1818
1823
1835

You likes, follows and support are very much appreciated.

As always, trade safe Troops.

KOG