Gold has experienced a busy week, and it seems that we currently have a XAU limit in place. Looking ahead to Monday, it is expected that shorting will be the dominant trading strategy. Support is currently seen at around 2035, and it will be interesting to see if this level will be broken.
For those looking to scalp, it is advisable to avoid trading sideways. The movement in this range is minimal, and your broker’s fees may eat into your profit margin significantly. It is important to consider the potential risks and rewards before engaging in such trading strategies.
Another factor to consider when analyzing gold’s price action is the underlying causes of the movement. Take a look at the economic calendar from last week to gain insights into the likely outcomes even before signals are generated. Understanding the drivers behind price movements can help inform your trading decisions.
Overall, it is crucial to stay informed about market trends and to develop a well-rounded trading strategy when dealing with gold. By considering support levels, avoiding low volatility periods, and analyzing the economic calendar, traders can make more informed decisions and increase their chances of success.
