Supported by North Korea threat XAUUSD is making higher highs, making gold trading popular once again. So, what is Gold trade signal for this week? Is it time to long XAUUSD yet? Don't forget to check daily technical analysis and daily Free Forex signals.
21 August, Gold news - Last week was the sixth consecutive week for XAUUSD to make weekly higher highs as the valuable metal keeps on marching towards $1300 level. XAUUSD, Gold bounced off the $1297 resistance level as have multiple times mentioned before. Meanwhile, Gold is now likely to test 1266 support line, which has been one of the three key supports since January this year. So, what does the market offer us as Gold trade signal? Should we long XAUUSD or consider shorting further?
Intraday Gold trade signal
On a shorter time frame such as 1 hour or 4 hour, we are looking for an immediate bearish development. From harmonics perspective we can also see a Head and Shoulders formation. As a result, we could consider the following Gold trade signal for today:
XAUUSD Long (Buy ) @ 1267, SL@ 1258, TP1@ 1272, TP2@ 1280, 1297
There are points traders need to know for the Gold trade signal above. If the North Korea threat eases down, it is likely that Gold will continue further with its bearish move. On an intraday channel, it is also against the developing trend. Thus, we need to be cautious about the risk factor.
Swing XAUUSD trade signal
Meanwhile, from swing analysis perspective, Gold is still bullish. On daily time frame the inverse Head and Shoulder pattern has more space to go ($1305). If we combine this analysis with True Fibonacci Waves as well, we can find more support for bullish gold trade orders. Thus, according to our Swing Gold analysis, there is another XAUUSD long signal is at 1256 zone. As a result the following is going to be my Swing Gold trade signal for the month of August:
XAUUSD - Gold Long (Buy Limit) @ 1256, SL@ 1243, TP1@ 1262, TP2@ 1274, TP3@ 1286
Note: The current bullish Gold and shaky USD is due to geopolitical instability supported by the North Korea Nuclear threats.