Good morning, Daily Direction readers!
Today, we’re looking at the Gold Futures (GC) market, as it could be setting up nicely for a bullish U-turn on the daily timeframe.
First, however, let’s recap where GC is on a longer-term timeframe…
On the monthly timeframe chart, GC is in an uptrend and is making higher highs and higher lows.
The market is holding above its up trend line, which has been a reliable U-turn level since late 2018, and there’s a monthly up Fibonacci level at the 2,486.60 level.
Now, let’s get right into the current daily timeframe analysis for the GC…
Daily Timeframe Analysis
The GC daily timeframe is in an uptrend. And with the market pulling back to the top of the up channel, the GC is at a low price hitting a known level of U-turn.
There is also a daily up Fibonacci extension at the 2,114.60 level, which we are eyeing as a potential target if the top of the up channel holds as support.
As the market continues to move, we’ll examine the data and keep an eye on our timeframe charts.
Remember… It’s critical to utilize all of the data we get during our research. It keeps us focused and prevents us from making emotional decisions when trading.
One-Hour Timeframe Analysis
While the monthly and daily timeframes are both bullish, we want to see a push above the counter trend line on the one-hour chart.
Once that happens, we will look for bullish counter trend line breaks in the buy zone for buying ideas toward the daily up Fibonacci extension at the 2,114.60 level.
The Bottom Line
The GC is still pushing bullish over the longer-term monthly and daily timeframes, but it is not yet in the buy zone on the one-hour chart.
However, if the daily timeframe does indeed U-turn at the top of its up channel, the one-hour chart should push into the buy zone and begin to offer us some bullish opportunities.
Keep On Trading,
Mindset Advantage: Pace Yourself
You can’t make a full-time career in a day, but you can blow it in a minute.
Slow the [expletive] down! Time and time again, we talk to traders that we know are thinking…. “Boy, I’ll never retire at this pace.”
What comes next is as predictable as death, taxes and your mother-in-law’s glare.
Contracts go from one… to three… then five or more. Stops get pushed back. Losses pile up. More trades take place to cover those losses.
And then it’s over. Good night, Irene… The account has been cleared.
Just pace yourself. There’s plenty of money and plenty of trades to take. Stick to your risk/reward ratio. Hold to those stops.
Take the losers with the winners, and become consistent. Build your empire with time and care!
Traders Training Session
Stay tuned for the next edition of Josh’s Daily Direction.
And if you know someone who’d love to make this a part of their morning routine, send them over to joshsdailydirection.com to get signed up!