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Gold Spot / U.S. Dollar
Short

Counter-Trend Setup Analysis

By BFUFX_MARKETS
Updated

Market Context:

  • Current Trend: The overall market trend is bullish.

  • Focus: This analysis focuses on a counter-trend setup.


Setup Breakdown:
  1. Support Area:


  • A multi-tested support level has been identified around 2,526.8.

  • This level has been tested four times, indicating potential selling opportunities for the upcoming week.

  • The repeated testing of this support has led to a structural break on the 4-hour timeframe, suggesting a possible change in trend, whether short-term or long-term.


  1. Entry Analysis:


To refine the entry strategy, we analyzed the 1-hour timeframe for the following key elements:
*SSR Flip Zones: Areas where the price may reverse due to previous support becoming resistance and vice versa.
*Breaker Blocks: Zones where significant price movement indicates strong buying or selling pressure.
*Fair Value Gaps (FVG): Price gaps that can act as potential entry points when revisited.
*Previous Liquidity Areas: Zones where liquidity has previously been accumulated, often acting as turning points.
*Premium and Discount Zones: Areas that indicate whether the price is above or below its perceived value, guiding entry decisions.

  1. Risk Management:

  • The entry is strategically placed within the middle of the identified zones (SSR flips, FVG, and breaker blocks) to manage risk effectively.

  • It is vital to ensure that the entry point aligns with the overall market structure to reduce the probability of adverse price movements.


Note:
Caution: This setup is intended for traders comfortable with counter-trend trades. It is crucial to thoroughly analyze the structural shift before entering a position. Following this counter-trend setup, a comprehensive long-term analysis will be conducted to evaluate the broader market context.
Trade active
tapped and running
Trade closed: target reached
Take profit hit +300pips
Multiple Time Frame AnalysisriskmangementSupport and ResistancetachnicalanalysisTrend Analysisxauusdanalysis
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