XAU/USD: Bearish Continuation Setup with SMC Framework~On the 4H chart, the previous bullish structure shifted to bearish intent after breaking the recent major higher low (HL). This confirmed a change of character (CHoCH) and suggested a potential trend reversal. Following the break, price took out buy-side liquidity (BSL) as inducement and fully mitigated the supply zone/order flow area, solidifying the bearish bias.
~Lower Timeframe Plan (30M & 5M):
As we approach the Sunday evening or Monday opening, I am closely watching the 30-minute chart for confirmation of a CHoCH that aligns with the 4H bearish intent. Once the CHoCH on the 30M is validated, I will refine my entry on the 5-minute chart by looking for a CHoCH flip into a precise order block or order flow zone.
Expectations:
I anticipate price to respect the mitigated supply zone on the 4H and continue its bearish trend. My targets are set at liquidity zones aligned with the higher timeframe structure. I will patiently wait for the setup to develop in alignment with Smart Money Concepts (SMC) principles, focusing on structure, liquidity inducements, and precise entries.
Key Levels:
• 4H bearish intent confirmed after HL break.
• 30M CHoCH confirmation: Awaiting.
• 5M entry: Pending precise setup during Sunday evening or Monday open.
Let’s Connect:
Does this setup align with your perspective on XAU/USD? Drop your thoughts or questions below!
Bless trading!
