Forex Trading News & Analysis

XAU/USD forming a strong bearish reversal, time to sell

The price is now testing major resistance at 1261.74 (Fibonacci extension, horizontal resistance, bearish divergence) and we expect to see a reversal below this level to 1,241.14 support (Fibonacci retracement, horizontal swing low support).

Stochastic (34,5,3) is seeing major resistance below the 97% and also sees bearish divergence vs price signalling that a strong reversal is impending.

Sell below 1261.74. Stop loss at 1273.10. Take profit at 1241.14.

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