Following the rapid rise in prices at the end of last year, gold pulled back exactly at the 61.8% retracement level. This opens the way for a jump to the 2020 and 2022 highs at $2000.
Gold shot up sharply during the US session. This sentiment could continue as long as traders follow this strategy.
As there is a three-wave (ABC) pattern, in which wave A represents the bullish pressure yesterday, traders can enter the market by buying from the 61.8% and 50% retracement levels. Set stop-loss at 1804, and then exit by taking-profit upon the breakdown of 1847 and 2074.
The trading idea is based on the "Price Action" and "Stop hunting" methods.
Good luck and have a nice day! Don't forget to control the risks.
