Current Market Overview (4H Chart):
Gold has been in a strong bullish trend over recent weeks, respecting key structural levels and moving consistently upward. Let’s break down the significant price movements, structure shifts, and potential future developments.
1. Bullish Structure: Higher Highs and Higher Lows
The gold market continues its bullish momentum, with price action forming higher highs (HH) and higher lows (HL). This clear trendline support further confirms the market’s upward trajectory. Recent breaks of structure (BOS) confirm that bulls are in control of the market.
2. Break of Structure (BOS) and MSS
- Several Break of Structures (BOS) indicate the continuation of the bullish trend, as price keeps pushing past previous resistance levels.
- The Market Structure Shifts (MSS) further reinforce these bullish signals, as the price consistently corrects but resumes its upward momentum after minor pullbacks.
3. Fair Value Gaps (FVG)
Two critical Fair Value Gaps (FVG) can be noted:
- One between 2,483.15 and 2,477.81, serving as a potential short-term liquidity area where the market may revisit before further upside.
- A higher FVG near 2,532.08, signaling that the price may need to correct toward this level before resuming its bullish movement.
4. Key Supply and Demand Zones
- Bullish Order Block (OB) resting at 2,347.92 – A significant demand zone that previously initiated a strong bullish move. This OB is critical for traders watching for potential retracements.
- Bearish OB resistance has not been explicitly formed in this leg of the uptrend, as the market continues to break through supply zones.
5. Ascending Trendline
The ascending trendline is providing solid support as it connects recent higher lows. As long as the price respects this trendline, the bulls will likely remain in control.
6. Potential Move: Retracement and Continuation
The market is expected to retrace slightly to the FVG around 2,532.08 before continuing higher. This retracement will allow the market to correct the recent imbalance and grab liquidity before pushing upward again.
7. Key Levels to Watch:
- Resistance: 2,586.07 (current high)
- Support: 2,532.08 (FVG), 2,483.15-2,477.81 (FVG)
- Trendline: Support should be watched closely for a potential break, which could signal a deeper correction toward the Bullish OB.
Conclusion:
Gold is maintaining a strong bullish structure, with higher highs and higher lows continuing to dominate the market. Traders should watch for a potential pullback to key Fair Value Gaps before the market resumes its upward trend. A breach of the ascending trendline, however, could signal a deeper correction toward the 2,350 zone.
“Stay ahead in the market! Follow us on social media for real-time trading insights and updates.”
Feel free to adjust it based on the platforms you’re using!
