Monday Opening Gap
Updated
The first area of interest lies around the big opening gap.
This zone represents an unmitigated 15-minute order block (OB), which could serve as a liquidity magnet for a retracement before any bullish continuation.
The price is sitting near a breaker block and a supply zone around $2,590. A strong rejection here could indicate a deeper pullback.
Higher Timeframe Resistance:
Key resistance sits near $2,610-$2,625 (higher timeframe OB). Any bullish continuation will need to break this zone for further upward momentum.
Scenarios to Consider:
Scenario 1: Bullish Continuation
If price holds above the current demand zone and forms bullish structure (higher lows on M15/M5). Look for bullish rejections around $2,580-$2,590.
Entry: On confirmation of a higher low or strong reaction near the gap-filling region.
Target: Immediate targets at $2,610 (next supply).
Stretch target at $2,625 or higher if resistance breaks.
Scenario 2: Gap Fill Before Bullish Move
Confirmation: Price rejects $2,590 resistance and moves down to fill the gap near $2,575.
Look for liquidity sweeps below the low before a reversal.
Entry: On the first sign of reversal after liquidity grab near $2,575.
Target: First target at $2,590.
Secondary target at $2,610.
Scenario 3: Extended Bearish Retracement
Confirmation: Failure to hold $2,575 demand zone.
Break of structure to the downside on M15/M5.
Entry: On retracement into newly formed supply zones after BOS.
Target: First target near $2,560.
This analysis represents a potential outlook based on price action and technical levels. However, markets are unpredictable, and trading carries risks. Adapt to the price action as the market develops and ensure you apply strict risk management.
Feel free to share your thoughts or add your own analysis below. Let’s see how XAUUSD plays out this week!
In collaboration with Chat GPT!! 🤪🤪
This zone represents an unmitigated 15-minute order block (OB), which could serve as a liquidity magnet for a retracement before any bullish continuation.
The price is sitting near a breaker block and a supply zone around $2,590. A strong rejection here could indicate a deeper pullback.
Higher Timeframe Resistance:
Key resistance sits near $2,610-$2,625 (higher timeframe OB). Any bullish continuation will need to break this zone for further upward momentum.
Scenarios to Consider:
Scenario 1: Bullish Continuation
If price holds above the current demand zone and forms bullish structure (higher lows on M15/M5). Look for bullish rejections around $2,580-$2,590.
Entry: On confirmation of a higher low or strong reaction near the gap-filling region.
Target: Immediate targets at $2,610 (next supply).
Stretch target at $2,625 or higher if resistance breaks.
Scenario 2: Gap Fill Before Bullish Move
Confirmation: Price rejects $2,590 resistance and moves down to fill the gap near $2,575.
Look for liquidity sweeps below the low before a reversal.
Entry: On the first sign of reversal after liquidity grab near $2,575.
Target: First target at $2,590.
Secondary target at $2,610.
Scenario 3: Extended Bearish Retracement
Confirmation: Failure to hold $2,575 demand zone.
Break of structure to the downside on M15/M5.
Entry: On retracement into newly formed supply zones after BOS.
Target: First target near $2,560.
This analysis represents a potential outlook based on price action and technical levels. However, markets are unpredictable, and trading carries risks. Adapt to the price action as the market develops and ensure you apply strict risk management.
Feel free to share your thoughts or add your own analysis below. Let’s see how XAUUSD plays out this week!
In collaboration with Chat GPT!! 🤪🤪
Trade closed: target reached
Price reached target, from here it will either break up and keep pushing or going back to the opening gap that didn't fill yesterday. It will be a waiting game. I will publish new analysis for today at Asia open.
Trade safe!!
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