Gold forms a clean double bottom after a correction within an upward channel.
The neckline aligns precisely with the 100 MA – a classic Fractal Reversal Law (FRL) setup, indicating a phase shift back into the bullish structure.
Why This Setup:
✅ Trend Structure:
Gold remains inside its upward channel, respecting each phase with corrective trends that end with clear reversal patterns.
✅ FRL Double Bottom:
• The corrective downtrend completes with a double bottom.
• The neckline is strictly horizontal, matching the start of the last impulse (FRL principle).
• Alignment with the 100 MA confirms the phase and scale.
✅ Confirmation:
We wait for a full H4 candle close above the neckline for entry confirmation.
Trade Plan:
📈 Entry:
After H4 confirmation above the neckline or on a retest of the neckline.
🎯 Targets:
Take Profits are aligned with the key levels from the chart:
• TP1: First resistance in the mid-channel zone.
• TP2: Next resistance level within the channel.
• TP3: Upper channel boundary.
🛑 Stop Loss:
Placed just below the smaller low of the double bottom, maintaining a clean and logical risk structure.
FRL Key Notes:
Every correction is also a trend that ends with a reversal pattern.
The neckline = the beginning of the last impulse, always horizontal.
The 100 MA is used to align the timeframe with the market phase.
The neckline aligns precisely with the 100 MA – a classic Fractal Reversal Law (FRL) setup, indicating a phase shift back into the bullish structure.
Why This Setup:
✅ Trend Structure:
Gold remains inside its upward channel, respecting each phase with corrective trends that end with clear reversal patterns.
✅ FRL Double Bottom:
• The corrective downtrend completes with a double bottom.
• The neckline is strictly horizontal, matching the start of the last impulse (FRL principle).
• Alignment with the 100 MA confirms the phase and scale.
✅ Confirmation:
We wait for a full H4 candle close above the neckline for entry confirmation.
Trade Plan:
📈 Entry:
After H4 confirmation above the neckline or on a retest of the neckline.
🎯 Targets:
Take Profits are aligned with the key levels from the chart:
• TP1: First resistance in the mid-channel zone.
• TP2: Next resistance level within the channel.
• TP3: Upper channel boundary.
🛑 Stop Loss:
Placed just below the smaller low of the double bottom, maintaining a clean and logical risk structure.
FRL Key Notes:
Every correction is also a trend that ends with a reversal pattern.
The neckline = the beginning of the last impulse, always horizontal.
The 100 MA is used to align the timeframe with the market phase.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.