XAUUSD Bullish Reversal From Major Support Zonebullish reversal setup on XAUUSD after a sharp selloff into a major demand/support zone.
Here’s the structure I see:
Price swept into the blue support area around 4510–4520.
The move down appears impulsive, likely a liquidity grab beneath prior lows.
You’ve marked Fibonacci retracement levels for a potential rebound:
0.5 ≈ 4645
0.62 ≈ 4610
0.705 ≈ 4588
0.79 ≈ 4565
The projected upside target is near 4773, which aligns with prior resistance/liquidity.
The setup suggests:
Strong reaction from support
Potential short covering
Mean reversion toward the EMA 200 and prior highs
The key technical idea is the retracement structure:
Retracement Levels: 0.5, 0.62, 0.705, 0.79
And your projected move resembles a measured expansion from the support base toward resistance:
y=mx+b
m
b
-10
-8
-6
-4
-2
2
4
6
8
10
-10
-5
5
10
y-intercept
x-intercept
Important levels from the chart:
Immediate support: 4510–4525
Confirmation zone: reclaim above 4565–4610
Momentum confirmation: break above EMA 200 near 4700
Main target: 4773
Invalidation: sustained move below the support box
One thing to watch:
The descending dotted trendline and EMA 200 are both overhead resistance. Price may bounce first, then consolidate before continuation.
If this is a true SMC accumulation/liquidity sweep, you’d usually want:
displacement candle upward,
fair value gap creation,
and higher low confirmation on lower timeframes.
Overall, the chart is presenting a high-risk/high-reward countertrend long idea with support-based invalidation and a liquidity target above.
Long
