This chart represents the price movement of Gold Spot (XAU/USD) on a 1-hour timeframe, showing key levels of interest, areas of potential sell zones, and market structure concepts. Here's the breakdown of the important components:
Key Elements on the Chart: Highlighted Resistance Levels (Red Zones):
Possible Sell - Risky (2704.35): Marked as a potential resistance zone where selling pressure might emerge. Possible Sell - Risky (2676.62): Another sell zone that could act as a resistance point. These levels indicate areas where price may reverse due to historical price action or imbalance. Support Zones (Purple Zones):
IMB 1h (2576.18): This area represents a 1-hour imbalance or Fair Value Gap (FVG), which is a potential support zone where buyers may step in. Low Zone (2536.09): A significant historical support level where the price might bounce if tested. Internal Change of Character (iCHoCH - 4h):
This label signifies a shift in market structure on the 4-hour timeframe. The price broke through a key level, suggesting a reversal or the start of a new trend. Positioned in the middle of the chart, this change initiated the recent bullish trend. Current Price Action (2650):
The price is currently consolidating around the 2650 level, possibly preparing for its next move. Directional Bias:
If the price moves higher and breaks through 2676.62 or 2704.35, it could continue upward toward new highs. If resistance holds and the price reverses, a bearish move toward 2576.18 or lower could occur. Manipulation Zones:
As highlighted in the analysis, the early-week movements (Monday and Tuesday) will be critical in identifying whether the market manipulates the sell zones or seeks liquidity below.
Summary: The chart shows a clear range with potential resistance at 2676–2704 and support at 2576–2536. The current price near 2650 is at a decision point, where breaking resistance could lead to bullish continuation, while holding resistance might trigger a bearish move. Market manipulation early in the week will provide further confirmation of direction.
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