Before signing off on Friday, I mentioned that “if we see a close above Friday’s open, expect continuation.” Price has now confirmed that view, closing at 4012, marking a solid $36 upward move from its daily open of 3975.98 levels.. and extending gold’s streak to seven consecutive weekly gains with some weeks showing virtually no lower wicks.
At this stage, two scenarios are possible: either price consolidates sideways before the next leg up, or it begins testing the resistance zones it has built along the way, potentially facing rejection. These levels will need to be cleared decisively. Monday we can expect the Friday lows to be taken in order to continue higher. but if the higher is targeted first, expect a dump. no doubt that golds movement has created significant volatility across global markets even mainstream media outlets are now giving it front page attention.
As investors, its important to pause and ask a simple question: “Would you buy at this price?” Warren Buffett once said, “Be fearful when others are greedy, and greedy when others are fearful.” When you hear everyday conversations from news anchors to analyst coming and talking about next bull run of gold to 5K 6K 10K and your barbershop guy .. all talking about gold, it signals we have entered the “euphoria” stage of the cycle buy the panic which goes into sell. We have seen this before repeat after repeat: in 2000, 2008, and 2020. When public excitement reaches its peak, when hockey moms buying gold become the news.. thats usually when institutional money starts preparing to sell. In fact, the first major profit taking likely occurred on October 8th during the London session. ofcourse thats the news they dont want you to see.. chaos! keep the govt shutdown so that the rug pull can be easy leaving traders who use data to trade as headless chickens
Last weeks rug pull in gold came just before equities turned lower. Think as a trader who all were trading, what were our targets? 4075 to 4100.. yet barely we crossed 4057 .. this is something I highlighted in my chart from October 8 on Market close, gold showed early resistance during London hours before New York reversed sharply and it was not due to news, but liquidity engineering. this was obvious not visible on the candle stick rather on the Tape that was playing. Shorts being built, market picking orders from the lows giving retail the belief it is going up.. then the next day On thursday, in NY Session gold dumped $100, and everyone in here was chasing "What happened whats the news why did it dump" and the forum got filled with questions .. and coming into by Friday, the S&P 500 had fallen over 3.5%, wiping out nearly $1 trillion in market capitalization. Going into Monday, further equity weakness is to continue a Friday close in lows will expect a further sell off in Stock Markets.
Remember, only a handful of companies Microsoft, Apple, Nvidia, Google, Amazon, and Meta carry most of the markets weight. When margin calls start hitting institutional portfolios, those players typically rebalance by liquidating gold hedge positions to cover equity losses.
Trumps tariff announcement has shifted sentiment from corrective to bullish, but that also introduces the risk of a blow off top or an aggressive two way reversal. The next few sessions could be extremely volatile. The key message here is caution .. Wednesday Dump in gold markets and Fridays price action in stock markets was not random; it was a signal. A 3.5% equity market drop of that magnitude demands respect. Protect your capital as your capital is your army and you are the commander.
Technical levels to watch:
Resistance: 4022, 4033–4038, 4040, 4052
Breakout confirmation: above 4057 4058 with next targets 4075 and 4133
Caution: No new COT data, ongoing U.S. government shutdown — both contributing to thin liquidity and unpredictable volatility.
Gold remains fundamentally bullish but short term caution is warranted. Trade with structure, confirmation and not emotion. Don't hold on to your losing trades. cut your losses and switch directions or rather wait for the storm to end. If you are unsure, then reduce your pips, The market will be here tomorrow, but if you do not have your capital, you have no army, and having no army means your out of the game. for now.. this is the only chart i will post here
Green pips to you all..
At this stage, two scenarios are possible: either price consolidates sideways before the next leg up, or it begins testing the resistance zones it has built along the way, potentially facing rejection. These levels will need to be cleared decisively. Monday we can expect the Friday lows to be taken in order to continue higher. but if the higher is targeted first, expect a dump. no doubt that golds movement has created significant volatility across global markets even mainstream media outlets are now giving it front page attention.
As investors, its important to pause and ask a simple question: “Would you buy at this price?” Warren Buffett once said, “Be fearful when others are greedy, and greedy when others are fearful.” When you hear everyday conversations from news anchors to analyst coming and talking about next bull run of gold to 5K 6K 10K and your barbershop guy .. all talking about gold, it signals we have entered the “euphoria” stage of the cycle buy the panic which goes into sell. We have seen this before repeat after repeat: in 2000, 2008, and 2020. When public excitement reaches its peak, when hockey moms buying gold become the news.. thats usually when institutional money starts preparing to sell. In fact, the first major profit taking likely occurred on October 8th during the London session. ofcourse thats the news they dont want you to see.. chaos! keep the govt shutdown so that the rug pull can be easy leaving traders who use data to trade as headless chickens
Last weeks rug pull in gold came just before equities turned lower. Think as a trader who all were trading, what were our targets? 4075 to 4100.. yet barely we crossed 4057 .. this is something I highlighted in my chart from October 8 on Market close, gold showed early resistance during London hours before New York reversed sharply and it was not due to news, but liquidity engineering. this was obvious not visible on the candle stick rather on the Tape that was playing. Shorts being built, market picking orders from the lows giving retail the belief it is going up.. then the next day On thursday, in NY Session gold dumped $100, and everyone in here was chasing "What happened whats the news why did it dump" and the forum got filled with questions .. and coming into by Friday, the S&P 500 had fallen over 3.5%, wiping out nearly $1 trillion in market capitalization. Going into Monday, further equity weakness is to continue a Friday close in lows will expect a further sell off in Stock Markets.
Remember, only a handful of companies Microsoft, Apple, Nvidia, Google, Amazon, and Meta carry most of the markets weight. When margin calls start hitting institutional portfolios, those players typically rebalance by liquidating gold hedge positions to cover equity losses.
Trumps tariff announcement has shifted sentiment from corrective to bullish, but that also introduces the risk of a blow off top or an aggressive two way reversal. The next few sessions could be extremely volatile. The key message here is caution .. Wednesday Dump in gold markets and Fridays price action in stock markets was not random; it was a signal. A 3.5% equity market drop of that magnitude demands respect. Protect your capital as your capital is your army and you are the commander.
Technical levels to watch:
Resistance: 4022, 4033–4038, 4040, 4052
Breakout confirmation: above 4057 4058 with next targets 4075 and 4133
Caution: No new COT data, ongoing U.S. government shutdown — both contributing to thin liquidity and unpredictable volatility.
Gold remains fundamentally bullish but short term caution is warranted. Trade with structure, confirmation and not emotion. Don't hold on to your losing trades. cut your losses and switch directions or rather wait for the storm to end. If you are unsure, then reduce your pips, The market will be here tomorrow, but if you do not have your capital, you have no army, and having no army means your out of the game. for now.. this is the only chart i will post here
Green pips to you all..
Candlesticks dont move markets, Volume does
, it was not visible on old chart but here you can see. Aaah trump, forget him he is a stupid president and if he will reverse his decision no wories bcz SL already placed but i think this will not happened lol. By the way i never forget to use SL for any trade.
