Stops’ Hunting – Bullion Daily 30th June

Bullion Daily

The following information is a guideline (trading plan) and should not be treated as financial advice. Not advice but banter and active in sharing trade ideas via twitter @sugardaddyFED. You can also follow us via TradingView.com for the latest charts update.

Daily Update

Safe Haven bid on Monday open but that Gap has been filled and price action is currently struggling

Gold actually moved lower in tandem with the dollar index

NFP week often see selling pressure as the momentum trader see a Fed rate hike = long dollar

Sellers could continue to drive market lower but the longer it takes then a potential short squeeze is due

A retest at 1150 – 1160 cannot be rule out here but look to swing long with tight stop

Upside remain capped and only a break above 1200 will help alleviate the selling pressure

Daily Update

We sense the selling momentum is slowing down while we look for an opportunity to swing long

As long as price managed to find support above 15.40 then it could have a corrective rally

We have a daily cross below the lower Bollinger band and more often than not, we see a small reversal

Break below and we will only have support at 14.50 levels

Short term expectation is for further weakness but if sellers fail to push lower then expect a squeeze

After a spike, price has resumed lower with the possibility to retest previous low at 1057.50. The 4 hourly RSI has a limited upside which add the bearish sentiment in the short term. A close below previous low will allow the bears to target the lower channel line.

The selling pattern look like a stairway to HELL and well we have it here and key support lies on 650 to 660 levels. We continue to monitor the price action and could wait for further confirmation of a potential corrective bounce. However, this could also play out as an inverted cup and handle pattern thus the corrective bounce and then another sell off is viable (example below).

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