Inside the current descending channel on XAUUSD

Today we will speak about the current price action we are observing inside the descending channel. A few weeks ago, we made a post about XAUUSD analyzing the macro situation (Daily Chart - Link in related ideas)


What are we observing right now?

-The price has broken the descending trendline (Yellow line) after making a double bottom pattern.

-Currently, the price is making a corrective pattern above a resistance zone now working as a support.

-We have two targets right now: The first one is the higher trendline of the descending channel. There we will expect a corrective structure with similar proportions to the one we are observing right now.

-If that happens and we have a breakout, we have a final target on the next resistance zone at 1950.00

-Currently, we have a setup using the levels we explained in the previous post (Link in related ideas) and a final target at 19500.00

-The expected duration for this movement is between 1 to 2 months



Thanks for reading!