Gold is about to extend the decline towards #1,700.80

Gold's general overview: Gold has entered the #1,730.80 - #1,740.80 Profit Taking zone, which was the one of the first mini Buying wave's and as discussed, it was be optimal for Short-term Buyers to have booked Profits until #1,735.80 and re-engage only after it eventually rejects the Price-action. After if you took the Sell order (yesterday’s one) below on the Weekly chart #MA50 I mentioned (Medium-term Support cycle), the Profit is already too good to ignore. With the Hourly 4 chart broken the #8 Month Low and haven’t been rejected at on the previous candle, the current Selling sequence resembles more and more the last strong rebound of November #24 - November #27 sequence, Selling rebound pulled back to test the Lower Low extension #4 consecutive times before more serious recovery / so I can't ignore this possibility before we eventually hit the #1,700.80 psychological barrier which possibility I was announcing few weeks ago. Gold is on strong Bearish configuration as I cannot rule out #1,717.80 test and #1,678.80 extension.


Fundamental analysis: Gold has hit (even marginally crossed) the #1,735.80 Resistance on the Hourly 4 chart and in my opinion, Bullish consolidation is over (or at least near exhaustion). Even though the Weekly chart #MA50 is not touched, now #1,735.80 represents the new Resistance and is close to the ultimate Top. Bond notes are still on Bullish gradient overall and the DX is still on majority pressing the Resistances, I see no reason for Gold to move Higher than today, unless those cross instruments start moving to favorable directions for Gold's uptrend. I see this mostly as filling the Gap and in my opinion, #1,700.80 should be next. See also an interesting fractal, which resembles a lot the current price action: November #2019 and the bounce from the #1,445.80 bottom, cross of Hourly 4 #MA50, failure to break #MA200 and then back down to #1,450.80. There is also possible Double Top rejection (Hourly 4 chart September #20 - #21, and October #1 - #2), and Daily chart still on a solid Channel Down.


Technical analysis: Critical session for Gold throughout today’s session as it is on crossroads for the Short-term. The Hourly 4 chart (aswell as Daily chart) remains an solid Channel Down and turned fully Bearish, as Weekly chart is on a pullback motion with the #MA50 (regarding the previous Year fractal has been the Support since June #10), served as Support on September #21, Resistance on September #30). All are Xau-Usd numbers on my commentary and needless to mention, current configuration is Trading almost #100$ below #MA50 on Weekly chart so Gold is in a deep Bearish territory. As discussed lately, Daily chart completed three straight red candles, for the first time since December #27, which means that if today's session candle closes above #1,735.80, there are still chances to test #1,747.80. If on the other side, it closes below or invalidate the #1,717.80 (typical Selling entry and confirmation), the Short-term Selling trend continues towards #1,700.80. In case of #1,700.80 break, Gold will deliver #1,690.80 and #1,677.80 extension.


My position: I am on sidelines, waiting for Selling confirmation as (even if #1,735.80 break), I won't be interested in Buying Gold on Short-term as Technically (#2 strong Bearish Channel's on D and H4 chart) and Fundamentally (Bullish values on both DX and Bond notes). My entry point is just few points away (#1,717.80) and break of it will make me pursue #1,700.80 with my Selling orders, where I will be ready to add more if #1,700.80 psychological barrier breaks.