XAU/USD (GOLD) bullish rally from 2300 or 2280
Gold remains bullish for me, but the recent slowdown in momentum suggests a potential upcoming drop. We are currently in a 6-hour supply zone with multiple reactions already, and we might see another one after a liquidity sweep at 2420.
My main focus for gold is to observe a drop to form a new supply zone or witness a reaction from a marked-out demand zone on the 2-hour or 10-hour timeframe. Following this, I'll start looking for buying opportunities again, noting significant liquidity via Asia lows.
Confluences for GOLD Buys are as follows:
- Price is still in a bullish trend on the higher time frame and continued BOS has been present.
- Demand zones have been left that have caused the BOSs as well. like the 2hr and 10hr.
- Liquidity to the upside still left as well in the form of Asian highs.
- For price to continue in the bullish trend it needs to retrace and form another rally.
- Dollar also approaching a very good supply so if expected to drop gold could rise further.
P.S. If price breaks any of the key demand points of interest (POIs), I will watch for a Change of Character (CHOCH) to the downside, signaling a continuation of the new downward trend.
Have a great trading week!
My main focus for gold is to observe a drop to form a new supply zone or witness a reaction from a marked-out demand zone on the 2-hour or 10-hour timeframe. Following this, I'll start looking for buying opportunities again, noting significant liquidity via Asia lows.
Confluences for GOLD Buys are as follows:
- Price is still in a bullish trend on the higher time frame and continued BOS has been present.
- Demand zones have been left that have caused the BOSs as well. like the 2hr and 10hr.
- Liquidity to the upside still left as well in the form of Asian highs.
- For price to continue in the bullish trend it needs to retrace and form another rally.
- Dollar also approaching a very good supply so if expected to drop gold could rise further.
P.S. If price breaks any of the key demand points of interest (POIs), I will watch for a Change of Character (CHOCH) to the downside, signaling a continuation of the new downward trend.
Have a great trading week!