XAU/USD 30M - As we can see I am wanting to see price continue to trade us higher into the market and sweep the Supply zone I have highlighted above.
Once price sweeps said zone, I would assume that enough Supply will have been introduced to flip the Supply & Demand balance, we should see the creation of a new bearish trend taking us lower into the market.
We will have confirmation of this when price taps in, delivers us with clear rejection and a BOS to the downside. A BOS confirms that the current bullish trend taking us into the zone has finished and the next bearish one is ready to take place.
You can see that I have illustrated how I believe price will play out and react to the zone I have drawn out for you all. This is just an illustration of how price should play based on structure.
Once price sweeps said zone, I would assume that enough Supply will have been introduced to flip the Supply & Demand balance, we should see the creation of a new bearish trend taking us lower into the market.
We will have confirmation of this when price taps in, delivers us with clear rejection and a BOS to the downside. A BOS confirms that the current bullish trend taking us into the zone has finished and the next bearish one is ready to take place.
You can see that I have illustrated how I believe price will play out and react to the zone I have drawn out for you all. This is just an illustration of how price should play based on structure.