XAU/USD – Bullish Reversal Setup in Progress
Date: July 8, 2025 | Source: MQL_CodedPips | Chart Type: Candlestick (H1/H4 range assumed)
Technical Overview:
The current price action in XAU/USD is exhibiting signs of an early-stage reversal structure following a sharp decline. Price has reached a key intraday support zone around $3,298, where previous liquidity grabs and reaction levels have been observed.
Key Technical Highlights:
🔹 Support Zone Holding (~$3,295–$3,300):
Price is consolidating around a previously validated support zone. This region acted as a short-term demand area in the past and is now showing signs of a potential base formation.
🔹 Projected Inverse Pattern (Double Bottom/Accumulation):
The dotted projection on the chart indicates a potential W-pattern or liquidity sweep reversal, suggesting that smart money may be accumulating positions before a bullish continuation.
🔹 Price Structure & Liquidity Engineering:
The recent low could be interpreted as a sell-side liquidity sweep, grabbing stop-losses below recent lows. The expectation is for a bounce as sell-side pressure diminishes and buy-side interest steps in.
🔹 Target Area (~$3,360):
The upside projection targets the $3,360–$3,370 resistance zone, which aligns with a prior structural high and volume node. A clean break above this level may open the door for a continuation towards $3,400, depending on upcoming fundamentals.
🔹 Fundamental Risk Markers:
Two economic event icons (including a U.S. flag) mark upcoming high-impact news, likely NFP or inflation data. Volatility is expected, which may either confirm or invalidate the projected move.
Technical Bias: Bullish (Short-term)
Entry Consideration: On rejection confirmation from the lower support or a break of neckline (~$3,310).
Invalidation: Break and close below $3,280 (would invalidate reversal structure).
Target: $3,360–$3,370.
Risk Catalyst: U.S. data releases.
Date: July 8, 2025 | Source: MQL_CodedPips | Chart Type: Candlestick (H1/H4 range assumed)
Technical Overview:
The current price action in XAU/USD is exhibiting signs of an early-stage reversal structure following a sharp decline. Price has reached a key intraday support zone around $3,298, where previous liquidity grabs and reaction levels have been observed.
Key Technical Highlights:
🔹 Support Zone Holding (~$3,295–$3,300):
Price is consolidating around a previously validated support zone. This region acted as a short-term demand area in the past and is now showing signs of a potential base formation.
🔹 Projected Inverse Pattern (Double Bottom/Accumulation):
The dotted projection on the chart indicates a potential W-pattern or liquidity sweep reversal, suggesting that smart money may be accumulating positions before a bullish continuation.
🔹 Price Structure & Liquidity Engineering:
The recent low could be interpreted as a sell-side liquidity sweep, grabbing stop-losses below recent lows. The expectation is for a bounce as sell-side pressure diminishes and buy-side interest steps in.
🔹 Target Area (~$3,360):
The upside projection targets the $3,360–$3,370 resistance zone, which aligns with a prior structural high and volume node. A clean break above this level may open the door for a continuation towards $3,400, depending on upcoming fundamentals.
🔹 Fundamental Risk Markers:
Two economic event icons (including a U.S. flag) mark upcoming high-impact news, likely NFP or inflation data. Volatility is expected, which may either confirm or invalidate the projected move.
Technical Bias: Bullish (Short-term)
Entry Consideration: On rejection confirmation from the lower support or a break of neckline (~$3,310).
Invalidation: Break and close below $3,280 (would invalidate reversal structure).
Target: $3,360–$3,370.
Risk Catalyst: U.S. data releases.
Forex Market Analyst | XAU/USD Specialist
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Forex Market Analyst | XAU/USD Specialist
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. Comprehensive Forex Mentorship Program
. Affiliate Program for growth-driven partners
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. VIP Signal Channel for Premium Insights
. Comprehensive Forex Mentorship Program
. Affiliate Program for growth-driven partners
Join Our Telegram t.me/Goldsignalspro12
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.