GOLD Best Buy and Sell area
( OANDA:XAUUSD ) At the beginning *Inverse Head & Shoulders* pattern, alongside an **ABC corrective wave** upwards, with clear Fibonacci retracements and volume profile zones.
Let’s break down the analysis into six key points:
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# ✅ **1) Inverse Head & Shoulders Pattern**
* We have a clear **Left Shoulder**, **Head**, and **Right Shoulder** formation.
* The **neckline has been broken**, signalling a strong bullish reversal.
* Typically, the target is measured from the head to the neckline, which aligns roughly with **Target 1 at 4217** on the chart.
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# ✅ **2) Elliott Wave Analysis**
The chart outlines an **A → B → C upward corrective wave**:
### Wave A
An initial impulsive move upward, indicating a trend change.
### Wave B
A retracement to the 0.618 – 0.705 Fibonacci levels, which is very typical for gold.
### Wave C
Expected to reach the labelled targets:
* **C ≈ A** at about 4217
* **1.272 – 1.618 of A** around 4236 to 4248
This alignment supports the target levels shown.
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# ✅ **3) SMC Zones (Smart Money Concepts) **
We can see three key elements:
### **🔵 Demand Zone**
Around **4202 – 4195**
The price has bounced strongly from this area, indicating:
* Liquidity absorption
* Entry of large buyers
* This zone acts as a strong **order block (OB)**
### **🔴 Liquidity Pools Above**
At the target levels (4217, 4236, 4248), we see likely stop hunts. The price tends to gravitate there to trigger stops and fill orders.
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# ✅ **4) Volume Profile (VPVR) Analysis**
The chart shows:
### ✔ Point of Control (POC) around:
**4208 – 4210**
Currently, the price is trading above the POC, suggesting that:
🔹 Buyers are in control
🔹 Any dips to this zone are likely just retests rather than trend reversals
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# ✅ **5) Expected Scenario**
## 🔵 Main Scenario (Bullish)
As long as the price stays above **4202 – 4208**, gold is expected to target:
### 🎯 **TARGET 1 → 4217**
(The first liquidity level)
### 🎯 **TARGET 2 → 4236**
(Approx. 100% extension of wave C)
### 🎯 **TARGET 3 → 4248**
(The final target of the C wave)
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# ✅ **6) Alternative Scenario (Bearish Failure) **
Only if the price breaks:
❌ **Below 4195**
❌ And closes below it on the 15-minute chart
In that case, we might see a decline towards:
**4164 – 4151** (the 1.618 and 2.00 Fibonacci extensions downward)
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# 📌 **Conclusion**
Overall, the analysis suggests:
### ✔ Short-term trend: **Bullish**
### ✔ Buy zone: **4195 – 4205**
### ✔ Stop loss: **Below 4192**
### ✔ Targets: 4217, 4236, 4248
The price action, wave structure, and volume profile all support this bullish scenario.
FX:XAUUSD
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