XAUUSD – Gold Hits Major Supply Zone! Time for a Reversal?

113
Gold just tapped into a major supply zone between 3350 - 3355, previously respected as a strong area of rejection. Price has rallied aggressively into this level after consolidating between 3305 and 3252 for several sessions.

Now that we're back into this high-volume zone, we could be seeing smart money unloading positions.


---

⚠️ Levels to Watch

🔵 Supply Zone (Resistance): 3350 – 3355 (Price is currently reacting here)

🔵 Mid-Level Support: 3305 – was resistance, now may flip as support

🟠 Demand Zone (Key Buy Area): 3250 – 3260

🔻 Arrows mark potential drop levels if price fails to hold above 3350.



---

🧠 Smart Money Play?

This looks like a potential liquidity grab and reversal. Price ran into premium territory, triggered breakout buyers — and now, institutions might be looking to dump positions before pushing it lower.

If we see a bearish engulfing candle or a break back below 3335 with volume, it could confirm the reversal.


---

📉 Trade Idea (NOT Financial Advice)

> Scenario 1: Bearish Rejection

Entry: 3349 – 3353

TP1: 3305

TP2: 3252

SL: 3357+




> Scenario 2: Bullish Breakout

Wait for a clean breakout + retest of 3355

Target: 3380 – 3400

SL: Below 3345





---

🗓️ Upcoming USD Events

Three major news releases this week — volatility expected! (See icons on chart)


---

💬 What’s Your Take on Gold?
Is this a trap for bulls, or are we about to see new highs?

Drop your thoughts below!
👍 Like & Follow if this analysis helps you stay ahead 📈

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.