The Alpha FX
Thomas from Arthur FX Academy analyzes gold using only his mobile device through the Tradingview app. He recommends using Tradingview for its versatility and built-in tools. Thomas uses the Fibonacci tool to identify support and resistance levels and predicts a potential bearish scenario with key entry points. He also mentions a potential bullish scenario but expects a consolidation in the short term. Thomas reminds viewers that expensive setups are not necessary for trading.
Analyzing Gold with Just a Mobile: Breaking Down the Market on a Lower Time Frame
Introduction (128 words)
The volatile nature of the market has prompted more novice traders to ask questions about trading, particularly about setting up the right trading infrastructure. However, you do not need an expensive setup or multiple screens to make trading work for you. In this article, we will show you how to analyze gold using just your mobile phone.
Using TradingView for Mobile (159 words)
For this analysis, we will be using TradingView for mobile. While many people prefer Metatrader 4 or 5, TradingView has more flexible and versatile built-in functionalities and tools. We will analyze gold in USD spot, in the weekly time frame. We can see that the price broke through a bearish trend line around the 10th of May and moved on to 1911, indicating a potential bigger retracement in the market. We will use Fibonacci to identify key support and resistance levels.
Using Fibonacci (237 words)
It is crucial to look at support and resistance levels when analyzing gold. From the left side of the chart, we can see that there is one support and resistance level at 1783, but it’s unlikely that the price will come down to that low. We need to be ready for every potential outcome. When using the Fibonacci tool, we begin by swing load to swing high. We can see that we have a few support and resistance levels, starting with 38.2%. It is marked because it is a known rejection level. The next level is 50 equal to 1796, which is very close to 1800, a round number, and a strong psychological number. We then mark 61.80, which has a strong previous consolidation top, and it’s also a strong support and resistance level at 1768.
Bearish Scenario (244 words)
If the price breaks this bullish trend line: it will break the trend line, come back to retest, and fall down to either one of the support and resistance levels. Using a lower time frame, such as the daily chart, the price would break the trend line, come back to retest and fall down to either one of the levels. It is important to note that the price must break the market structure to confirm the bearish scenario. If the price doesn’t respect the 38.2%, the next destination will be around the 1800 mark, then 1770. We don’t expect it to go any lower than that. However, the recent panic-buying due to inflation may cause bigger consolidation in gold. Once the price retests the support and resistance levels, we expect the price to stabilize, as we have stronger fundamentals in the longer term. If the price moves in this bearish direction, traders should take profit at 1825 and 1800.
Bullish Scenario (226 words)
In the bullish scenario, we can see that the price is currently sitting on a bullish trend line. We see strong support and resistance levels on the left side of the chart, and there is an indication from the consolidation wedge that there may be something happening at that level. We can see a trend line on the weekly chart, indicating a higher bias in favor of bullishness. Therefore, we expect the price to respect this trend line, and if it does: it will remain on the bullish trend, potentially climbing to 1911 again.
Conclusion (106 words)
In conclusion, it is possible to analyze and forecast the market using just your mobile phone, so you don’t need an expensive setup to make trading work for you. Regardless of whether you choose to go the bullish or bearish route, it is essential always to anticipate scenarios in the market where the price can move in both directions. Identifying key support and resistance levels can provide a stable foundation for these predictions.
