FX.co ★ XAU/USD, GOLD

XAUUSD GOLD. Good afternoon. Gold is currently still within a local correction, so further movement to the downside is still in question. But on the H1 chart the indicators still support a move to the south, so I consider selling as the more preferable option for myself. The pair has just approached a test of the middle Bollinger band from below, so it’s better to wait for the result of this test, and then, depending on a breakout or a bounce, the further bias will become clear. The channel itself has started to narrow quite sharply, which in no way confirms the development of a bullish bias, so I’m looking at a continuation of the decline in the short term roughly towards 3920-25. On the H4 chart the indicators also fully support further downside, although the lower indicators have drawn bullish divergences hinting at a reversal. So for opening short positions here, in any case, it’s worth waiting for more complete confirmation from the technical side.