30 January the price first fell and then reached the level where it usually stops going down, known as the support level. The gold to US dollar exchange rate, represented as XAUUSD, has been pushing against a tough area. This area is where sellers often come in strong, and it lies between 2030 and 2034.
In my earlier message, I pointed out that if the price could climb above 2034, the peak price for the week, it would likely continue climbing to 2050. This prediction came true as the price successfully climbed above this challenging level.
XAUUSD Context
However, not long after this success, the market took a quick downturn. It fell to levels lower than many expected. This action is significant because when the price keeps testing a level, it often means a big price move is coming. If it breaks through this level, it could lead to a strong and decisive move in the market.
I am watching closely and expect the price to revisit and test the tough resistance area once more. This area is also at the edge of the price channel, a pattern that prices often follow.
XAUUSD Trading Idea for 30 January 2024
I have set a specific goal for myself. I aim for the price to reach the resistance area, which is around 2049.35. This is the level where I anticipate sellers might come in, but reaching it would mean a successful prediction for me.