Gold - Another Drop Incoming?Currently, we have had a strong impulse followed by a slow retracement. The Impulse took out a major Low, showing Sign of Weakness (SoW) as the level couldn't hold.
We also have an M - which is a bearish pattern where we can expect a bearish reaction at the mitigation block (MB).
Additionally, the market is in an Optimal Trade Entry (OTE), where we can expect lower prices.
Gold also just filled in the Fair value gap (FVG) that needed to be filled, and from here we can look at bearish pressure.
We also have imbalance to the downside that also wants to get filled.
Target? We have 3 perfectly equal lows, which is a goldmine for banks as retail traders have their orders here. And since it's GOLD, we all know gold loves to manipulate retail traders, so therefore I'm looking for a Sweep (Stop loss raid) below the line to take out retailers Stop losses, causing a so-called trapped market.
Confirmation Summary: M formation, Impulse & Correction, SoW, We are inside OTE, FVG just filled, Imbalance, 3 Perfectly Equal Lows (SSL).
Should the setup fail and gold starts moving higher, I'm looking at the level above the M formation where it says BSL @1833.43, and the nice equal highs @1903.77 higher up.
The last Setup I posted on gold here on tradingview was a great success, as from where I posted the analysis it went straight to the pip of my target, with a downfall of 2300 pips. Now, I'm currently already in a sell position from 1791.525, and the trade is running nicely in 5R profit with stops at breakeven. Continuing to hold...
This is just my perspective and idea, do your own research :)
