Precious Metals are going places

Hi Traders

As we have been seeing very volatile markets in the past week, trading any direction currently is not easy. It is now, more important than ever, to stick to your strategy and do not let yourself be distracted from potential gains you are missing out on. The worst thing you can do to your portfolio is FOMO. Stay cool-headed and trade the obvious.

Precious metals are of interest to investors and traders currently due to arising macroeconomic uncertainties that have been evolving over the course of the past 3 years. But also recent news have been filled with a lot of FUD regarding the banking sector in the US, bailouts in a high interest rate environment and many more things happening currently. Crypto but also precious metals have seen fantastic gains since the start of the week, thanks to investor running away from the legacy markets and trying to find more safety in the digital and physical safe havens.

As Gold looks quite strong, I will be discussing a potential long trade idea below, please understand that gold is sitting on a strong resistance at 1920 USD that has historically been though to smash through, therefore sticking to the plan will be crucial for execution.

Here is my Game Plan for XAUUSD:
– Reclaim of 1910 entering range of between 1910 and 1930
– Hold above range for a significant amount of time
– Price needs to be trending upwards
– Smooth price action is a prerequisite for this trade
– Consolidation right under upper half of the violet box
– Entry upon break of box
– T1 1947 USD
– T2 1966 USD
– Stop will be disclosed once trade has been entered

Trading needs a plan, only a plan can give you orientation. Sticking to the plan means that you will have a reproducible procedure which can be assessed for mistakes and learnings. It is comparable to the scientific approach, the only difference is, a trader is not interested in facts, he is interested in gains.

Please make sure to leave a like and a comment if you liked what you have been reading.

Also please message me directly if you wanf to join my telegram group where I make real time updates regarding my trade ideas in which I combine macroeconomic news, fundamentals and technical analysis .

Have a good one legends

Best
CH