
Forex and Xau/Usd(Gold) outlook for 08.09.2023
EurUsd- I’m looking to sell rallies
Since mid-July, EurUsd has entered a downtrend. The confirmation for this came with a break under the one-year-long up trend line in mid-August. After the confirmation of resistance at 1.0930 at the beginning of September, the pair made a new 250 pips leg down and stopped in support.
Now EurUsd is trading at 1.0715 and is consolidating.
A correction to the upside could follow and this could offer bears the opportunity to sell at better prices.
In conclusion, in my opinion, traders should look for selling opportunities around 1.08 for a 1.05 target.
Only a break back above 1.0950 would shift my outlook to bullish

Gold- Potential higher low
As you know, I was bullish Gold all week and also bought around 1930.
Unfortunately, my buy trade was closed with a low when XauUsd dropped under 1920 2 days ago.
At this moment, I’m out with no trade running, but my bullish bias remains.
However, for opening a long trade I need more confirmation and this comes with a break back above 1935, which at this moment is confluence resistance given by the falling trend line and the horizontal level.
In conclusion, at this moment there is a potential higher low in place, and confirmation for this comes with a break above 1935.
Also, a positive day close will give us a Morning Star candle formation on the daily chart and a week close above 1940 will give us a Pin Bar on the weekly chart.
So, for now, wait and see is my approach.

CadJpy- Could drop to important support
Since mid-July, CadJpy has been trading inside an ascending triangle with price congestion in the last 3 weeks.
Ascending triangles are usually continuation patterns and considering the up trend of the pair, this could be the case also now.
However, a break under the support line could lead to a steep dive to important support at 102.
In my opinion, even if we have a break above the triangle’s resistance, this will be a false one.
In conclusion, I’m looking to sell, either after the false break (if will be the case), or after the break of the ascending trend line down break.

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