Dear Price Action Traders,
The traders trading price action will find today’s session quite profitable. The AUD/USD trade idea from yesterday managed to drop almost 100 pips. The second trading suggestion (GBP/CAD) from yesterday still hasn’t played out, but it hasn’t hit its stop. The price does not indicate price action traders that we need to close our positions yet. Especially AUD/USD may have a log way down. It all depends on the way it reacts with the 0.8500 support level. If the price manages to hold underneath, this might turn out to be a major move.
I am spotting an opportunity to go long Gold. The idea behind this trade is hidden in the price action setup. The past three trading sessions, including today’s are showing rejections on the Daily time-frame. This means only one thing-sellers are hesitant and buyers do find a stronger reason to hold on to their long positions. This might lead to a fresh bullish interest, which in turn could push the price up. Another confirmation in favor of bullish price action traders is today’s candle. It looks loke a pin bar, but at the same time it engulfs the previous trading session’s candle. This is indicative of the potential for further upside movement.
All long positions should be accompanied by a stop just under the 1185 level. The entry point for this trade is the current price, or 1201. The initial target for a long position would be 1222. The next one- 1250. But again- as I do usually say traders need to adjust their targets accordingly and take action in price shows an indication that the bullish move is exhausted.