Bulls Defend 3630 zone – Is the Reversal Already Starting?In my yesterday’s analysis, I argued that Gold could extend its correction towards 3620 and even 3570 if the move deepened.
Indeed, during the day, price reached a new local low at 3628 before reversing sharply higher.
For several sessions now, I have been pointing out the risk of a correction. But the main message remained clear: this is only a correction within a much larger bullish trend.
So the key question today is: Is the correction over?
📊 Chart observations:
• The structure is corrective, with overlapping price action.
• After the Fed-triggered drop to 3635, price dipped again to 3628, and once more last night to 3632. Each of these dips has been quickly bought back, showing strong bull interest around the 3630 zone.
• Despite this, we are still under the falling trendline, which means caution is required.
⚖️ Trading stance:
This type of price action prompted me to close my short trades with around +550 pips profit. For now, I am adopting a wait-and-see approach but with a bullish bias in mind.
🟢 Two bullish scenarios I’m working with:
1. A fresh dip towards 3620 could provide a buying opportunity, as I would expect bulls to step in again.
2. If the price stabilizes above 3665–3670, I will consider the correction complete and start looking for long entries on strength.
At this stage, patience is key. Let the market show its hand, but the evidence suggests that the bullish trend is preparing for another leg higher. 🚀
