Gold – Possible Levels for Buying
Gold/U.S. Dollar FX:XAUUSD
The price bounced from the resistance zone and moved downward. Now the price tries to break the support formed by an uptrend line and the key 1300.00 level. If this attempt is successful, we will be able to see the falling to 1290.00 and 1280.00 support levels.
As the market has made a good downward movement already, trading in the same direction is not a good idea. But catching reversals from one of the possible support zones, why not?
If the price bounces from 1290.00 or 1280.00 support levels, the reversal signals can be used for buying with profit targets at 1300.00 or higher levels. For confirmation the further uptrend, the price will have to break the downtrend line and make a new swing high.
Signals from indicators confirm the reversal from the resistance zone and the downward movement.
Source: TW DLavrov