Signal Update- Our Gold Trade XAU/USD Hit First Take Profit Level !
Good morning traders, our BUY Signal on GOLD XAU/USD from Jun 4th has hit our first Take Profit target at $1,360. We locked in 40 Dollar move and now holding for our Second Take Profit Target at the $1,500 level. In order to protect profits and keep this trade virtually Risk free, traders can set a STOP LOSS order at our entry price level at $1,320; this way we can enjoy the upside without risking any Dollar from our own capital. Currently Gold continue to show price strength and is trading above the $1,400 price level.
See our weekly time frame chart below to see our technical trade analysis and the Daily time frame chart to see current price action.
We have seen the market correcting down in recent days to price levels that shows real long term concern. The continue decline is a result of the ongoing trade war between the US and China and the rising geopolitical tensions between the US and Iran. In addition, the euro-zone continue struggle with the UK Brexit, which also influence all European countries thinking about their own future in the EU.
Accordingly, We have seen the price of gold (XAU/USD) starting to rise fast this week in response to the rising risk in stock markets around the world. Looking at XAU/USD chart, we can see that gold is now trading at a critical price level that and near a major resistance level; a breakout above 1,350 price level can result in a quick price bounce higher up to our Second Take Profit level at $1,500! In order to reduce risk, we plan to sell half position at $1,360 level and then move up our Stop loss order and make this trade a win win situation.