XAUUSD / FURTHER DECLINE / OVERALL UNDER UPWARD PRESSURE / 4H
XAUUSD / 4HTIME FRAME
HELLO TRADERS
. Current Downtrend: The price is currently in a downward movement.
Demand Zone (Support): The analysis identifies a demand zone between $2,565 and $2,551. A demand zone typically represents a price level where buying interest is strong, potentially causing the price to stabilize or increase.
Expectation if Stabilization Occurs , If the price stabilizes above this demand zone, it suggests a potential rebound , The price may then move upward to reach a supply zone between $2,618 and $2,618. (It seems this zone might have been mistyped, as it should likely be a range.)
Further Increase if Supply Zone Breaks , If the price closes above the supply zone with a 4-hour (4H) candle, this signals continued upward momentum , This could lead to an increase toward a higher supply zone between $2,732 and $2,749.
Further Decline if Demand Zone Breaks , If the price falls below the demand zone (between $2,565 and $2,551), this suggests a likely continuation of the downtrend, with further declines in price expected.
HELLO TRADERS
. Current Downtrend: The price is currently in a downward movement.
Demand Zone (Support): The analysis identifies a demand zone between $2,565 and $2,551. A demand zone typically represents a price level where buying interest is strong, potentially causing the price to stabilize or increase.
Expectation if Stabilization Occurs , If the price stabilizes above this demand zone, it suggests a potential rebound , The price may then move upward to reach a supply zone between $2,618 and $2,618. (It seems this zone might have been mistyped, as it should likely be a range.)
Further Increase if Supply Zone Breaks , If the price closes above the supply zone with a 4-hour (4H) candle, this signals continued upward momentum , This could lead to an increase toward a higher supply zone between $2,732 and $2,749.
Further Decline if Demand Zone Breaks , If the price falls below the demand zone (between $2,565 and $2,551), this suggests a likely continuation of the downtrend, with further declines in price expected.
Trade active
UPDATE
Supply and Demand Zones: The text identifies two main “zones” of interest: a supply zone between $2,618 and $2,628 (or potentially above this level in a “Fair Value Gap,” or FVG) and a demand zone between $2,565 and $2,551. In technical analysis, a supply zone represents a price range where selling interest (or supply) is likely to increase, potentially creating downward pressure on price. Conversely, a demand zone signifies a range where buying interest may rise, potentially stabilizing or pushing prices upward.
Fair Value Gap (FVG): The mention of a FVG above the $2,628 level refers to a price area that is often considered undervalued or overvalued temporarily. Traders may anticipate price movement back to these areas, possibly to fill any “gaps” in valuation. This suggests the potential for price action above the immediate supply zone, with the FVG acting as an extended resistance point.
Price Decline Toward Demand Zone: The expectation of a movement downwards toward the $2,565-$2,551 range suggests that analysts predict a pullback, where prices may temporarily dip due to supply pressures. Upon reaching this demand zone, the analysis anticipates stability or accumulation.
Potential Upward Movement Post-Stabilization: The final portion anticipates a “strong increase” after stabilizing in the demand zone, aiming to move toward a higher supply zone between $2,687 and $2,708. This upward expectation indicates a possible reversal or bullish momentum expected once the price has tested and held support in the demand area.
Note
UPDATE
1. Supply Zone & Target Achievement:
• Prices are approaching a supply zone between $2,618 and $2,628.
• The analysis notes a prior increase, reaching a target for a profit of 90 pips. This suggests the price reached a resistance level that was anticipated as a sell target.
2. Influence of CPI News:
• The upcoming CPI (Consumer Price Index) release is highlighted as a potential catalyst for price volatility.
• A higher-than-expected CPI could drive prices up, possibly to the supply zone and FVG (Fair Value Gap) area.
3. Downward Pressure:
• There’s an underlying bearish sentiment (“downward pressure”) if prices stabilize below the FVG area.
• A potential decline to a demand zone between $2,565 and $2,551 is anticipated if the price cannot hold above the FVG area.
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