GOLD - FVG-Based Long & Short Setup Within Range ContextPrice action remains range-bound with well-defined FVG zones acting as both support and resistance, offering reactive trading opportunities on both sides.
---
1. Upper FVG as Resistance — Short Setup Trigger Zone
The highlighted upper green zone marks:
- Fair Value Gap (FVG): A clear inefficiency from the previous bearish impulse.
- Structural Significance: Price has struggled to break and hold above, showing signs of supply reactivation.
This zone is likely to attract sellers upon revisit, offering a clean risk-defined short opportunity.
---
2. Lower FVG as Support — Long Setup Zone
The lower blue zone serves as:
- FVG Rebalance Area: A region where price previously left inefficiency, now acting as strong support.
- Accumulation Interest: Smart money often reloads in such imbalanced areas on retests.
This zone is optimal for positioning into the next bullish leg should price dip lower.
---
3. Liquidity Sweep Mechanics — Trap Both Sides
The market structure hints at:
- Step 1: Induce buyers into breakout longs into resistance.
- Step 2: Reverse from FVG, triggering short entries and trapping longs.
- Step 3: Collect liquidity from lower range, potentially initiating new accumulation.
This movement pattern is characteristic of engineered liquidity grabs in both directions.
---
4. Mid-Range Reaction — Key Pivot Area
Price currently hovers around the mid-range zone:
- Serving as a temporary balance point before volatility expansion.
- Acting as a launchpad for the next impulsive move, depending on order flow dominance.
Patience here is key — waiting for clean confirmations near FVGs provides optimal entry quality.
---
5. Summary:
- Upper FVG Resistance → Short Bias
- Lower FVG Support → Long Bias
- Structured Reactions Around Imbalances Suggest Smart Money Activity
This is a dual-sided setup ideal for reaction-based traders awaiting price confirmation at extremes.
