Introduction
Today’s intraday for XAU/USD produced the bias—the downside, which is expected in the range of 12.91 – 27.91 USD. We like being short below the level 2643.00 to reach key support zones around 2610.00 and 2595.00. We will see here a detailed overview of XAU/USD, entry and exit points, resistance and support levels, and other technical insights to help traders build up their strategy for today.
Important Levels of 12th November 2024
Resistance Levels:
2675.00 – XAU/USD would have a strong sell as the resistance that it will be experiencing at this point
2661.00 – Resistance level in case of a bull take
2643.00 – Pivot and Resistance: A very crucial point for today’s trading strategy.
Pivot Point: 2643.00 – This will be the pivot point of that central pivot to mark the direction of the market so that all our short position preferences can be achieved if it stays below it.
Support Levels:
2610.00-This shall be a significant support area. If it breaks down through this level, it may be the case that we have a further extensive longer bearish trend.
2595.00 This shall act as secondary support in case of a further downtrend. It can be a target for the continuation down.
2585.00 If prices fall lower, there shall be further support here.
Intraday Price Movements and Strategy
Current Price Level: The XAU/USD last traded around 2622.00.
Price Projection: We look to see a price movement in the zone of 12.91-27.91 USD.
Strategy Preference: Short at below 2643.00 with the primary target being 2610.00 and a secondary target at 2595.00.
Technical Analysis and Trade Setup
- Resistance Zone Analysis
Resistance levels are evident for the XAU/USD between 2643.00 and 2675.00, so selling pressure is more likely to be prevalent at this point in the market. Traders who target short entries should look at these levels to trade with high-probability zones for price flips. - Pivot Point Strategy
The 2643.00 mark is a crucial pivot and resistance level. Staying below it would preserve the bearish tone and hold well with our strategy of a bias to the downside. An important zone to watch: if prices remain below this area, the trend has the path of least resistance to the south. - Support Levels and Targets
The level of 2610.00 is the support that will play a critical role today in the intraday setup. A break below here may trigger selling pressure, probably to test 2595.00, if it breaks below 2610.00.
Bearing down may offer a trader holding the short position an excellent opportunity to test at 2585.00 if it breaks below 2610.00.
Scenario Analysis: Price Movements and Trading Tips
Bearish Scenario (Primary Setup)
Trade Entry: Short position below 2643.00.
Target 1: 2610.00.
Target 2: 2595.00.
Stop-Loss: A stop-loss above 2675.00 may be taken to guard against unexpected upward moves.
Reason: The current downside bias would probably mean that any price rejection from the resistance zone would validate the bearish move to the 2610.00 levels. A close below 2610.00 could indicate stronger selling pressures, so 2595.00 becomes attainable.
Bullish Scenario (Alternative Setup)
Entry: If the price breaks and holds above 2643.00, watch for long entries.
Target: Could get a pop-up towards 2661.00 and 2675.00.
Stop-loss: Below 2622.00 to limit the loss on a reversal.
Reason: Even though the day was marked with a downside bias, the intraday move above 2643.00 might just signal an end to that trend for bulls, as trading contrary to it helps them; thus, a buy signal is born.
Relative Strength Index (RSI): If the RSI reading on the lower side is around the 2610.00 support level, then there could be a modest bullish reversal observed. Conversely, RSI overbought levels around 2675.00 will vindicate strength in resistance.
Moving Averages: Using a combination of a 20-day and 50-day moving average crossover can help generate a short-term momentum gauge. The bearish mood will be confirmed if the 20-day moving average continues to remain below the 50-day moving average.
Volume Analysis: Increasing volume around the resistance areas (2643.00 – 2675.00) shall confirm higher selling pressure, and the more confident it is to sit on a short side.
Risk Management Tips
Position Sizing: Risk-tolerance always sizes positions. Trading within predetermined supports and resistances avoids overexposure.
Leverage Control: Over-leveraging will create more risk in volatile markets like XAU/USD.
Intraday Check: Analyze intraday charts to adjust targets and pivots to reflect market conditions. Tightening stop-losses when the market is near targets will lock in gains and defend against unexpected reversals.
Conclusion
For November 12, 2024, the XAU/USD intraday play is bearish, with a preference for short positions below 2643.00. Key support to watch will be at 2610.00, the first level of support. Then, if the bearish action continues, its next target is likely to be at 2595.00. Around 2675.00, 2661.00, and 2643.00, the resistance zones are likely to be price reversal points in conformity with the existing bearish drive. Market movements are to be monitored, and risk factors are to be reviewed well before executing a balanced intra-day trading scheme.
This strategic approach captures all of the daily movements in XAU/USD, which is respected for its technical indicators, key levels, and strict risk management.
