Ticker tape by TradingView

August 24, 2021

Gold Could Be A Buy After This Breakout

Frank Cabibi

8/24/2021

Gold gained early in the week as the dollar struggled with the anticipation of the USD news set to come out Thursday and Friday. Gold has been able to hold itself above the $1800 mark for two days so far as the dollar slips 0.81% from the highs.

Our outlook

Gold's performance will likely depend on interest rates remaining low, higher inflation, and a slowing economy. In the long term, I think inflation will probably help gold's price out, but I also don't think the US will struggle with the economy. Also, the Fed goes back and forth on tapering which means that they have no idea when to loosen their bond buying for now. Gold also had a major break above a falling trend line from January of this year which at least points towards a potential run to the upside in the short term.

Trade Setups

XAUUSD

Gold on the 1D chart breaks and closes above a long term falling trend line and stays above the $1800 for the second day. Now price has to test its 200 DMA to see if it can push higher or go into consolidation for a little while.

A look at the 4H chart will help us spot support if price falls under $1800. The $1795 mark is a big level of support for the metal should momentum start to fade after the impressive run.

A1 Edgefinder

FLASH SALE
Take 40% off the Edge finder using code "READER"
GET ACCESS NOW

want to see what we're trading?

Join The VIP Community!
Our entries, exits & analysis
Live Webinar Coaching
Trading Chatrooms
Strategy Library 
Exclusive Trading Guides
Use Code "READER" for 10% OFF!
JOIN NOWJoin FREE Discord
A1 Trading Podcast
How These Factors Will Impact Oil Now

Oil prices have surged this year and have recently pulled back from the highs. However, there are some factors right now that will heavily influence the price of commodities in the long term. And it's important that we go over them so when the time comes, we'll have a better understanding of how to trade […]

Read More
We Like These Pairs For Next Week

As this week comes to a close, we are looking ahead at future setups that could be some of the best opportunities for the next several trading sessions. Here are some pairs for next week that we are looking at. EUR/JPY Recent data has shown a slow down in the German manufacturing sector. With European […]

Read More
More Downside On The SPX500 After This?

When it comes to testimonies, it's all in how you say it. Jerome Powell has to be very particular in the way he makes his statements and answers the ensuing questions. Here is what might be in store for the market in the coming days and weeks, and whether or not there will be more […]

Read More
DISCLAIMER: All comments made by TraderNick’s Forex Group, LLC are for educational and informational purposes only. All comments should not be construed as investment advice regarding the purchase or sale of any securities or financial instrument of any kind. Please consult with your financial adviser before making an investment decision regarding any securities or financial instruments mentioned by TraderNick’s Forex Group, LLC. TraderNick’s Forex Group, LLC assumes no responsibility for your trading and investment results. All information on any of the platforms utilized by TraderNick’s Forex Group, LLC was obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. TraderNick’s Forex Group, LLC, its employees, representatives, and affiliated individuals may have a position or effect transactions in the securities and financial instruments herein and or otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies. Trading of any type involves very high risk and may not be suitable for all investors. TraderNick’s Forex Group, LLC, its subsidiaries and all affiliated individuals assume no responsibility for your trading and investment result. Read our full disclaimer here
homescreensmartphone linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram