Trading idea for gold

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There is a false breakout in gold, more specifically around the lower limit of the current trading range. This suggests that price will most likely increase, possibly towards the target level, which is 1797.

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And technically, from the current prices, profitability is already 1: 1. But traders can still work for a further increase, this time after an intraday pullback.

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In the trading chart, there is a three-wave pattern (ABC), where wave A represents today's buying pressure. Considering this, investors can open long positions in order to set off a 50% rollback from 1778-1779.5. Stop loss should be placed at 1773.5, while the targets will be 1797 and 1800.

This plan follows the framework of Price Action and Stop Hunting strategies.

Good luck and have a nice trading day!

The material has been provided by InstaForex Company - www.instaforex.com

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