The price of GOLD this August is controlled by the bears, as seen on the monthly chart.
The weekly price is also controlled by the bears, supporting our short idea.
As we are inside the parallel channel, we must be patient to short near the resistance of the channel which is also in confluence with the opening price for the week.
If the short materializes, we can take profit near the bottom range of the channel.
If price breaks out of the channel (as shown using the orange arrow), we can wait for a retest of the channel and go long but take profits quickly as bears are still in control of the month and we are still inside the downtrend channel.
The weekly price is also controlled by the bears, supporting our short idea.
As we are inside the parallel channel, we must be patient to short near the resistance of the channel which is also in confluence with the opening price for the week.
If the short materializes, we can take profit near the bottom range of the channel.
If price breaks out of the channel (as shown using the orange arrow), we can wait for a retest of the channel and go long but take profits quickly as bears are still in control of the month and we are still inside the downtrend channel.