Multi-Timeframe Insights and Potential Reversal Points!
Updated
XAUUSDMulti-Timeframe Analysis (2Hr - 4Hr)
1st - Falling Wedge (2Hr)
2nd - Head and Shoulders (4Hr)
3rd - Bearish Divergence (Daily)
4th - Extreme Overbought (Weekly)
1 - Falling Wedge Pattern (2-Hour Chart)
On the 2-hour chart, we identified a falling wedge pattern suggesting potential price movements. Initially, the price may decline from the breakout line, potentially reaching the 2724 - 2714 range. After reaching this level, we expect a bounce towards 2754 - 2762.
If the price falls from the breakout line and reaches 2714 - 2724, it’s important to closely monitor the 4/8 Murray Math Level (MML) at 2734 during the bounce, as this Major Resistance level could cause a decline.
Falling Wedge Target: 2783
However, around 2754 - 2762, prices may face resistance as the Head and Shoulders pattern completes, potentially signaling a reversal point.
2nd - Head and Shoulders Pattern (4-Hour Chart)
On the 4-hour chart, the left shoulder and head have completed, with the right shoulder partially formed. After the right shoulder completes, we anticipate a potential drop towards the neckline, which lies between 2724 - 2714. Should this level break, the Head and Shoulders pattern projects targets at 2675 and further down at 2656.
3rd - Bearish Divergence (Daily Chart)
Daily chart analysis reveals a bearish divergence, signaling a possible downside. Bearish divergences often indicate weakening momentum and could precede price declines.
4th - Extreme Overbought Zone (Weekly Chart)
On the weekly chart, prices are currently in the extreme overbought zone, which historically hints at a likely correction. Traders should watch for signs of price weakness at these elevated levels.
Key Levels to Watch;
Resistance:
• 2783
• 2773
• 2762
• 2754
Support:
• 2734
• 2724
• 2714
Price Targets;
Falling Wedge Price Targets:
• 2783, 2754, 2762
Head and Shoulders Price Targets:
• 2734, 2724, 2714, 2675, 2656
⚠️ Note: This analysis is intended for informational purposes only. Please use appropriate risk management.
Happy Trading! 🚀
Trade active
Target Reached: 2734 Trade active
Target Reached: 2724Trade active
Target Reached: 2714 NeckLineNote
We are on the way to our 1st Target:::::Enjoy your profitTrade closed: target reached
Both of our price targets have been reached successfully:
1st Price Target: 2675
2nd Price Target: 2656
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