Technical Breakdown on Gold Spot / USD (XAU/USD) – 1H Chart Analysis using Volume Profile, Gann, and CVD + ADX
1. Key Observations (Volume, Gann & CVD + ADX Focused)
a) Volume Profile Insights:
Value Area High (VAH): 3,260
Value Area Low (VAL): 3,217
Point of Control (POC): 3,234.27
High-volume nodes: Around 3,234 – confirms consolidation and price acceptance.
Low-volume gaps: Below 3,210 and above 3,275 – potential zones for fast moves.
b) Liquidity Zones:
Stop Clusters Likely At:
Upside: 3,260 (prior swing highs).
Downside: 3,200 & 3,175 (multiple swing lows).
Order Absorption Zones (Delta Spikes):
Near 3,234 and 3,217 – large volume with minimal price movement (potential absorption).
c) Volume-Based Swing Highs/Lows:
Swing High (Volume Spike): 3,275 (bearish rejection)
Swing Low (Volume Spike): 3,200 (bullish absorption)
d) CVD + ADX Indicator Analysis:
Trend Direction: Currently range-bound, with a possible bullish structure forming (wedge channel).
ADX Strength:
ADX < 20: Weak trend, range likely.
CVD Confirmation:
Recent rising CVD + price holding above POC = early demand signs
Watch for breakout above 3,240 for stronger confirmation.
2. Support & Resistance Levels
a) Volume-Based Levels:
Support:
VAL: 3,217
POC: 3,234
Swing Low: 3,200 (absorption)
Resistance:
VAH: 3,260
Swing High: 3,275 (recent rejection zone)
b) Gann-Based Levels:
Confirmed Gann Swing Low: 3,200
Confirmed Gann Swing High: 3,275
Key Retracements from 3,275 to 3,200:
1/2: 3,237.5
1/3: 3,250
2/3: 3,225
3. Chart Patterns & Market Structure
a) Trend:
Neutral to Bullish Bias – structure forming higher lows within ascending channel.
b) Notable Patterns:
Falling wedge breakout attempt.
Retest of POC zone (3,234) – critical for bullish continuation.
Potential double bottom formation near 3,200.
4. Trade Setup & Risk Management
a) Bullish Entry (If CVD + ADX confirm uptrend):
Entry Zone: 3,234–3,230 (POC support zone)
Targets:
T1: 3,250 (Gann 1/3 retrace & mid-channel)
T2: 3,275 (swing high resistance)
Stop-Loss (SL): 3,215 (below VAL + structure invalidation)
RR: Minimum 1:2
b) Bearish Entry (If breakdown below 3,217 confirmed):
Entry Zone: 3,215–3,217
Target:
T1: 3,200
Stop-Loss (SL): 3,235 (above POC)
RR: Minimum 1:2
c) Position Sizing:
Risk 1–2% of trading capital per trade.
1. Key Observations (Volume, Gann & CVD + ADX Focused)
a) Volume Profile Insights:
Value Area High (VAH): 3,260
Value Area Low (VAL): 3,217
Point of Control (POC): 3,234.27
High-volume nodes: Around 3,234 – confirms consolidation and price acceptance.
Low-volume gaps: Below 3,210 and above 3,275 – potential zones for fast moves.
b) Liquidity Zones:
Stop Clusters Likely At:
Upside: 3,260 (prior swing highs).
Downside: 3,200 & 3,175 (multiple swing lows).
Order Absorption Zones (Delta Spikes):
Near 3,234 and 3,217 – large volume with minimal price movement (potential absorption).
c) Volume-Based Swing Highs/Lows:
Swing High (Volume Spike): 3,275 (bearish rejection)
Swing Low (Volume Spike): 3,200 (bullish absorption)
d) CVD + ADX Indicator Analysis:
Trend Direction: Currently range-bound, with a possible bullish structure forming (wedge channel).
ADX Strength:
ADX < 20: Weak trend, range likely.
CVD Confirmation:
Recent rising CVD + price holding above POC = early demand signs
Watch for breakout above 3,240 for stronger confirmation.
2. Support & Resistance Levels
a) Volume-Based Levels:
Support:
VAL: 3,217
POC: 3,234
Swing Low: 3,200 (absorption)
Resistance:
VAH: 3,260
Swing High: 3,275 (recent rejection zone)
b) Gann-Based Levels:
Confirmed Gann Swing Low: 3,200
Confirmed Gann Swing High: 3,275
Key Retracements from 3,275 to 3,200:
1/2: 3,237.5
1/3: 3,250
2/3: 3,225
3. Chart Patterns & Market Structure
a) Trend:
Neutral to Bullish Bias – structure forming higher lows within ascending channel.
b) Notable Patterns:
Falling wedge breakout attempt.
Retest of POC zone (3,234) – critical for bullish continuation.
Potential double bottom formation near 3,200.
4. Trade Setup & Risk Management
a) Bullish Entry (If CVD + ADX confirm uptrend):
Entry Zone: 3,234–3,230 (POC support zone)
Targets:
T1: 3,250 (Gann 1/3 retrace & mid-channel)
T2: 3,275 (swing high resistance)
Stop-Loss (SL): 3,215 (below VAL + structure invalidation)
RR: Minimum 1:2
b) Bearish Entry (If breakdown below 3,217 confirmed):
Entry Zone: 3,215–3,217
Target:
T1: 3,200
Stop-Loss (SL): 3,235 (above POC)
RR: Minimum 1:2
c) Position Sizing:
Risk 1–2% of trading capital per trade.
Bharat Pandya @ProspireWealth
+91 9624044866
pandyabn76@gmail.com
+91 9624044866
pandyabn76@gmail.com
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.
Bharat Pandya @ProspireWealth
+91 9624044866
pandyabn76@gmail.com
+91 9624044866
pandyabn76@gmail.com
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.