- October 15, 2021
- Posted by: Tradingshot Articles
- Category: Commodities
This is a follow up to my most recent Gold analysis:
The Inverse Head and Shoulders pattern worked perfectly and the price easily broke above the 4H MA200 (orange trend-line). As it got rejected on the psychological 1800 level, the potential of a Channel Up emerges, similar to that of August that tested the 1,834.50 Resistance.
The key is the 4H Golden Cross, which took place in August and needs to get formed again soon, within the Channel Up. So far the RSI sequences of the two fractals are also similar. I see no reason why Gold won’t test the 1834.50 Resistance again, even a little higher, as the Inverse Head and Shoulders Target is on the 2.0 Fibonacci extension (1842.50).