XAUUSD → Collapse the Most Since June 2021 Last Week

XAUUSD , RETAIL TRADER POSITIONING, TECHNICAL ANALYSIS – IGCS UPDATE
- Gold prices fell the most last week since June 2021
- And now, 85% of retail traders (IGCS) are net-long
- Overall, things are not looking great for XAUUSD

Gold prices dropped by around 4% last week, marking the largest decline since June 2021. Retail traders are increasing their bullish positions in XAUUSD, as indicated by IG Client Sentiment (IGCS), which has often served as a contrarian indicator. This suggests a potentially negative outlook for gold at the start of the new week.

XAUUSD Sentiment Outlook - Bearish
The IGCS gauge indicates that 85% of retail traders are net-long XAU/USD, suggesting a strong bias towards the upside. However, recent data shows an increase in upside exposure, which may lead to future price declines. Overall, this creates a stronger bearish contrarian trading bias.

XAUUSD Daily Chart

On the daily chart, gold prices have continued to make further downside progress after confirming a breakout under the rising trendline from February. Now, a bearish Death Cross between the 50- and 200-day Moving Average has recently formed, further underscoring a bearish technical bias.

Now, prices are facing the midpoint of the Fibonacci retracement level of 1848.37. A breakout lower exposes the February low of 1804.78 before the 78.6% level of 1714.83 comes into focus. Otherwise, a turn higher places the focus on the 1884.89 inflection point.

تعليق:

🕯 BUY GOLD |  1837 - 1840

🔴 SL: 1832

🟢 TP1: 1845
🟢 TP2: 1850

تم فتح الصفقة:

HIT TP1 + 50pips. Heading to TP2 ✔️✔️✔️

تعليق:

It is possible that gold will reverse this week and the driving force for gold's increase is that the USD has peaked and begun to decline, the precious metal will soon bottom. Falling core inflation helps stabilize US interest rates and the decline in the USD will support the precious metal. Gold needs to return to 1,885 USD/ounce for technical stability and 1,892 USD/ounce to strengthen market confidence.

تعليق:

USD🇺🇸 JOLTs Job Openings (Aug)

Previous: 8.827M
Expect: 8.830M

Current: 9.61M