Earlier, we released an article saying that traders should short gold, given the fact that a pin bar was formed during yesterday's trading session. However, there is also a chance that price will increase today. Therefore, here is another strategy that you could do in the market:
So, since gold has another three-wave pattern (ABC) in the daily chart, wherein wave "A" is the bullish initiative observed at the beginning of this year, long positions may be opened from 1840-1850, the target of which is a 61.8-50% Fibonacci retracement. In particular, the target profit may be 196, and such will form a double top in the market. Profit for this transaction is expected to be roughly 10,000 pips.
Of course, traders need to carefully assess the situation before placing any position. Trading is very precarious, but is profitable as long as the correct strategy is used.
The idea above follows the Price Action and Stop Hunting methods.
Good luck!
