Technical Analysis of GOLD on November 4, 2024

Technically, I see that Gold has entered a price level worth considering for potential entry points. 

Let’s take a look at the 1-Hour Time Frame chart for Gold before analyzing further:

We’ll use Price Action analysis (Trader Pressure) to examine this. The market trend shows that GOLD remains in a Bullish / Uptrend condition, but we should also anticipate a trend reversal if the price breaks through the Support area above or consolidates in price.

Based on the candlestick history, we can look for Buy entry opportunities, but to keep it objective, I'll present an analysis for both buy and sell entries. Looking at the chart, the Buyer pressure (long green candles) is gradually pushing the price up, unable to be opposed by Seller pressure (long red candles), forming Higher Lows. This indicates that Buyers are still dominating certain price levels. However, Sell opportunities are still possible within the Gold commodity.

On the chart, I’ve marked the Resistance area with lines above the price (2752.29 – 2744.89) and the Support area with two lines below the price (2727.80 – 2721.56).

Here are my entry setups, which you can adjust to fit your trading style:

Breakout Opportunity Setup:

• If the price closes a 1-Hour candle above the Resistance Area Upper Limit (2752.29), prepare to find the best Buy entry position.
• If the price closes a 1-Hour candle below the Support Area Lower Limit (2721.56), prepare to find the best Sell entry position.
• Cut Loss if the 1-Hour candle closes below the lower limit of the resistance area (<2744.89) for buy entries, and above the upper limit of the Support Area (>2727.80) for sell entry Stop Loss. Use a minimum risk ratio of 1:1.

Pullback Setup for Sell Positions:

• For a Pullback area, use the resistance area. If the 1-Hour candle closes within the pullback area, you may take a Sell position and Cut Loss if the 1-Hour candle closes above the pullback upper limit (>2752.29). Apply a minimum 1:1 risk ratio according to your trading style.

Pullback Setup for Buy Positions:

• For a Pullback area, use the support area. If the 1-Hour candle closes within the pullback area, you may take a Buy position and Cut Loss if the 1-Hour candle closes below the pullback lower limit (<2721.56). Apply a minimum 1:1 risk ratio according to your trading style.

Maintain good money management for every entry to ensure sustainable and healthy trading, and stay alert to potential Fake Breakout Candles.

Hopefully, this analysis can serve as a reference for your market analysis.

Happy Trading, everyone!

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