Hi, dear traders! I'd like to share a trading idea for gold with you. Gold remains in the overall large bullish trend. The metal is able to update easily its historic highs in the context of globalgeopolitical jitters.
Here is a big plan for gold based on updating the double top of 2020-2022.
Let's consider the buying impulse from May 16 to be a basis represented by wave A. As of today, the gold price declined by 50% and made a false breakout of the low from May 20.
I suggest we consider the trading idea based on the gold rally according to this scheme.
In fact, there is a three-wave ABC structure where the buying impulse of mid-May is plotted by wave A. I plan to open long positions during the 50% Fibonacci retracement at the current price levels. We could set a stop loss at $1,810. We could fix a profit during a breakout of $1,870 and $2,075.
The trading idea is developed on the grounds of the author's methods of Price Action and Hunting for Stop Orders.
Good luck in trading! Manage your risks!
