LTF Daily chart: showing down trend since April where we topped out around $1370. It also shows some new demand (blue line) and some older demand just below from 2017. Not a recommendation or solicitation: I will look to those areas for a market reversal possibly and take a few shots when price reaches them as counter trend trades. I was not kidding when I said in class that I will buy some physical gold down on those areas as well. Its been a long time since gold has fallen this low and many of us where trading actively when it was $1900 an ounce years ago (that was awesome). I am not a huge bear, but I do anticipate a major correction at some point (if not an outright crash) and hedging not just with Gold but other assets like options and currency is just good financial planning/risk management.
STF 30M Chart: You can see the 1st target where I will take off 75% of my contracts and leave the final 25% to run a little lower if it gets there. You can also see the ruler feature I used to measure my risk vs reward in the black boxes (I know we have talked about that some Raj & Paul). I also have pretty tight stops already so it may not make it down there. There really is no planned news risk for me today, but tomorrow at 10am The FED speech from Powell requires a little distance for me, so most likely outcome will be an exit later today.
NOTES: (Paul) this was not really a true "level on a level" entry because the zones were still separate on the higher time frame charts. They were still close enough for me to take both zones, even though price just bounced right off the 30M zone back in the direction of the LTF trend. By the way we talked about this potential setup on Tuesday in class if your following you can watch the recording. Gold is an asset for you new traders to be careful with like HG and RTY it has some pretty wild swings. According to the Moore Research Center, inter market correlations (MRCI dot com) for the last 180 trading days it has been inversely trading to the dollar at over -90. To offer some scale most of you have looked at the US index's (NQ, YM, ES etc) on the same chart or at least side by side by now. Well they traded between +88 and +84 on the same scale, so watch out for the dollar if your trading gold. Especially any news that affects the dollar. The emotions of fear and greed are at play BIG TIME in the markets where such tight hedging is possible, just something to keep an eye on. By the way those daily demand levels shown are serious and gold is really low on the LTF charts altitude, so look for a decent bounce and maybe a reversal down there, especially on news related to the dollar.
Good luck to everyone, focus on your plan and your entries- then walk away and let your trade plan work. B
