This trade will be validated once we are able to break and have a daily closure above the $1590/OZ price level for gold. This trade setup falls perfectly under the breakout retest pattern, which is a very common setup observed by historical price action in Gold.
Potential economic events to be aware of when placing this trade include:
03/02/2020 - (USD) ISM Manufacturing PMI (Previous: 47.2 / Forecast: 48.5)
05/02/202 - (USD) ADP Non-Farm Employment Change (Previous 202K / Forecast 150 k)
05/02/202 - (USD) ISM Non-Manufacturing PMI (Previous 55.0 / Forecast 55.1)
07/02/2020 - (USD) Average Hourly Earnings m/m (Previous 0.1 / Forecast 0.3)
07/02/2020 - (USD) Non-Farm Employment Change (Previous 145K / Forecast 160K)
Entries: Between $1595/oz - $1585/oz - Ideal Entry at $1590/oz
Stop Placement: $1580/oz
Targets: Profit Level 1 at $1600/oz - Profit Level 2 at $1605/oz - Profit Level 3 at $1610/oz Profit Level 4 - $1620/oz.
Position Increments: 25% of Original position should be secured at each Profit Level.
Trailing Stop Loss Placement: Should be made Risk Free after $5 increase from entry. Trailing Stops should be placed $5 below Profit Levels.