GOLD MARKET UPDATE 21/05 – FED'S HAWKISH STANCE VS. TECHNICAL LEVELS – BIG MOVE AHEAD?
Gold’s recent rally has paused as traders weigh the latest signals from the Federal Reserve. Despite geopolitical tensions and softer U.S. economic data, the Fed is sticking with a "higher-for-longer" interest rate policy, which has kept the U.S. dollar strong and put pressure on gold’s price action.
📉 However, the technical outlook suggests a different story.
⚙️ TECHNICAL ANALYSIS: Is It A Bearish Trap Or A Hidden Bullish Opportunity?
Looking at the 1H timeframe, XAU/USD is consolidating after reaching a major Fair Value Gap (FVG) between 3328–3356. This zone reveals significant volatility and potential liquidity grabs, with two key FVG zones forming above and below the current price levels.
There’s a potential bullish scenario if gold retraces to the 3250–3252 support zone, where strong trendline confluence and dynamic support are likely to drive demand.
On the flip side, any rejection from the 3354–3356 SELL ZONE could initiate a bearish trend, pushing gold lower to test key structural support levels.
💹 TRADING STRATEGY FOR TODAY:
🔵 BUY ZONE
Entry: 3252–3250
Stop Loss: 3246
Take Profit:
3256 – 3260 – 3264 – 3268 – 3272 – 3280 – 3300 – ???
🔵 BUY SCALP
Entry: 3277–3275
Stop Loss: 3272
Take Profit:
3280 – 3284 – 3288 – 3292 – 3296 – 3300
🔻 SELL ZONE
Entry: 3354–3356
Stop Loss: 3360
Take Profit:
3350 – 3346 – 3342 – 3338 – 3334 – 3330 – 3320
🔻 SELL SCALP
Entry: 3328–3330
Stop Loss: 3334
Take Profit:
3324 – 3320 – 3316 – 3310 – 3305 – 3300
🌍 MACRO INSIGHT
The Fed’s hawkish stance continues to weigh on gold, but geopolitical uncertainty and ongoing de-dollarization trends maintain gold’s appeal.
China, along with other central banks, is still actively accumulating gold, signaling that long-term bullish pressure remains intact.
Keep an eye on U.S. data this week, especially PMI and jobless claims, as these could act as short-term catalysts for gold.
📌 KEY NOTES
Volatility is increasing, so stay disciplined. Stick to your key levels and manage risk effectively. Patience and strategy will be key as the market moves in the coming days.
Stay alert and trade wisely!
Gold’s recent rally has paused as traders weigh the latest signals from the Federal Reserve. Despite geopolitical tensions and softer U.S. economic data, the Fed is sticking with a "higher-for-longer" interest rate policy, which has kept the U.S. dollar strong and put pressure on gold’s price action.
📉 However, the technical outlook suggests a different story.
⚙️ TECHNICAL ANALYSIS: Is It A Bearish Trap Or A Hidden Bullish Opportunity?
Looking at the 1H timeframe, XAU/USD is consolidating after reaching a major Fair Value Gap (FVG) between 3328–3356. This zone reveals significant volatility and potential liquidity grabs, with two key FVG zones forming above and below the current price levels.
There’s a potential bullish scenario if gold retraces to the 3250–3252 support zone, where strong trendline confluence and dynamic support are likely to drive demand.
On the flip side, any rejection from the 3354–3356 SELL ZONE could initiate a bearish trend, pushing gold lower to test key structural support levels.
💹 TRADING STRATEGY FOR TODAY:
🔵 BUY ZONE
Entry: 3252–3250
Stop Loss: 3246
Take Profit:
3256 – 3260 – 3264 – 3268 – 3272 – 3280 – 3300 – ???
🔵 BUY SCALP
Entry: 3277–3275
Stop Loss: 3272
Take Profit:
3280 – 3284 – 3288 – 3292 – 3296 – 3300
🔻 SELL ZONE
Entry: 3354–3356
Stop Loss: 3360
Take Profit:
3350 – 3346 – 3342 – 3338 – 3334 – 3330 – 3320
🔻 SELL SCALP
Entry: 3328–3330
Stop Loss: 3334
Take Profit:
3324 – 3320 – 3316 – 3310 – 3305 – 3300
🌍 MACRO INSIGHT
The Fed’s hawkish stance continues to weigh on gold, but geopolitical uncertainty and ongoing de-dollarization trends maintain gold’s appeal.
China, along with other central banks, is still actively accumulating gold, signaling that long-term bullish pressure remains intact.
Keep an eye on U.S. data this week, especially PMI and jobless claims, as these could act as short-term catalysts for gold.
📌 KEY NOTES
Volatility is increasing, so stay disciplined. Stick to your key levels and manage risk effectively. Patience and strategy will be key as the market moves in the coming days.
Stay alert and trade wisely!
⚜️ Trade with Money Market Flow, logic, Price action 📉📈
⚜️Risk Reward 1.3 to 2.5...
⚜️Daily 7 to 15 Signals Vip
⚜️Risk Reward 1.3 to 2.5...
⚜️Daily 7 to 15 Signals Vip
Related publications
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.
⚜️ Trade with Money Market Flow, logic, Price action 📉📈
⚜️Risk Reward 1.3 to 2.5...
⚜️Daily 7 to 15 Signals Vip
⚜️Risk Reward 1.3 to 2.5...
⚜️Daily 7 to 15 Signals Vip
Related publications
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.