📊 LONDON SESSION ANALYSIS: $XAU
The price of gold continued to rise, reaching the resistance zone, but the candle’s long upper wick indicates that sellers actively stepped in at this level. This rejection suggests a possible correction toward the FVG zone.
TRADING PLAN:
🔴 SCENARIO #1: REJECTION FROM THE RESISTANCE LEVEL
1) Price reaches the resistance zone around $4164.
2) Wait for confirmation of a downtrend through candlestick patterns or a change in market structure before opening short positions.
🟢 SCENARIO #2: BOUNCE FROM THE FVG ZONE
1) Price reaches the bullish Fair Value Gap (FVG) zone around $4138.
2) Wait for confirmation of an uptrend through candlestick patterns or a change in market structure before opening long positions.
The price of gold continued to rise, reaching the resistance zone, but the candle’s long upper wick indicates that sellers actively stepped in at this level. This rejection suggests a possible correction toward the FVG zone.
TRADING PLAN:
🔴 SCENARIO #1: REJECTION FROM THE RESISTANCE LEVEL
1) Price reaches the resistance zone around $4164.
2) Wait for confirmation of a downtrend through candlestick patterns or a change in market structure before opening short positions.
🟢 SCENARIO #2: BOUNCE FROM THE FVG ZONE
1) Price reaches the bullish Fair Value Gap (FVG) zone around $4138.
2) Wait for confirmation of an uptrend through candlestick patterns or a change in market structure before opening long positions.
