Price action on XAUUSD has shown a clear bullish market structure, recently forming a higher high above the previous major swing high. This breakout signifies strong bullish momentum and a continuation of the overall uptrend.
After creating the new high, price has since pulled back and retested the previous swing high area, which is now acting as a potential support zone. This kind of retest is typical in trending markets, where former resistance turns into support, offering a higher-probability area to rejoin the trend.
We are currently in the observation phase, waiting for the market to provide bullish confirmation signals—such as bullish candlestick patterns (e.g., engulfing, pin bar, or inside bar), a break of a lower timeframe structure to the upside, or increased volume on bullish moves. These would suggest that the pullback is complete and the next impulsive leg higher is beginning.
Trade Objective:
If bullish confirmation is observed around the 3386.646 level, a long position targeting the 3449.611 resistance zone offers a favorable risk-to-reward ratio. The 3449.611 area aligns with the next logical resistance level and may also coincide with key Fibonacci extensions or psychological levels.
Next Steps:
Monitor price action closely on lower timeframes (e.g., M15, H1) for entry confirmation.
Determine an appropriate Stop Loss placement once structure confirms (e.g., below the retest low or below a recent swing low).
Manage risk carefully and trail SL if price begins to move in our favor.
XAUUSD Trade Setup – Long Position
Entry: Approximately 3386.646
Stop Loss (SL): To be determined based on further price action or invalidation levels
Take Profit (TP): 3449.611
After creating the new high, price has since pulled back and retested the previous swing high area, which is now acting as a potential support zone. This kind of retest is typical in trending markets, where former resistance turns into support, offering a higher-probability area to rejoin the trend.
We are currently in the observation phase, waiting for the market to provide bullish confirmation signals—such as bullish candlestick patterns (e.g., engulfing, pin bar, or inside bar), a break of a lower timeframe structure to the upside, or increased volume on bullish moves. These would suggest that the pullback is complete and the next impulsive leg higher is beginning.
Trade Objective:
If bullish confirmation is observed around the 3386.646 level, a long position targeting the 3449.611 resistance zone offers a favorable risk-to-reward ratio. The 3449.611 area aligns with the next logical resistance level and may also coincide with key Fibonacci extensions or psychological levels.
Next Steps:
Monitor price action closely on lower timeframes (e.g., M15, H1) for entry confirmation.
Determine an appropriate Stop Loss placement once structure confirms (e.g., below the retest low or below a recent swing low).
Manage risk carefully and trail SL if price begins to move in our favor.
XAUUSD Trade Setup – Long Position
Entry: Approximately 3386.646
Stop Loss (SL): To be determined based on further price action or invalidation levels
Take Profit (TP): 3449.611
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.
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.