XAUUSD Analysis : Reversal Zone & Trendline Break Setup

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🧠 Market Breakdown (Based on MMC Concepts)
Gold (XAU/USD) recently touched an All-Time High, followed by a sharp correction respecting a clean descending trendline — confirming strong selling pressure in the short term.

After price completed a Channel Supply zone (highlighted), it dropped significantly and created a 2x Supply Structure along with a QFL (Quasimodo Failure Level) — a strong indication of liquidity engineering by smart money.

Now, price has entered the Major Reversal Zone, which aligns with a key minor structural demand level. The reaction here becomes highly important, as it could mark the beginning of a new bullish leg.

📌 Technical Conditions
Trendline (Condition 1): Still active; breakout confirmation required for bullish entry.

Reversal Zone (Demand Area): Price currently reacting; signs of rejection forming.

Smart Money Behavior: Liquidity sweep + QFL zone = potential institutional accumulation.

Momentum Watch: Look for bullish engulfing or strong pin bar as confirmation.

🎯 Price Levels to Watch
Upside Targets:
🔹 TP1: 3,360 – 3,380
🔹 TP2: 3,420 – 3,440

Invalidation Zone:
🔻 Break and close below 3,300 = bearish continuation likely.

💡 Conclusion
Gold is approaching a decision point. If this reversal zone holds and we break the trendline, we could see a strong rally back toward previous supply zones. However, failure to hold could bring price lower for further liquidity grabs.

Stay patient. Let price confirm.

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