Gold at key resistance.

Gold bulls have been fooled into longs up at these levels on a few occasions since early summer. The difference today vs those other attempts as we have now broken a descending trend line that is drawn from the highs from August 2020 to today. Now, a sustained break (or daily close above) of the 1835 XAUUSD spot market could allow for a short squeeze towards the 1864 level, the 127% extension of the last move lower in Sept/October.

Blake Morrow