Gold Surge: 80 Price Bounce from Key Support Gold Surge: 80 Price Bounce from Key Support – What’s Next for the Market? 💰📈
Market Overview:
Gold has surged by 80 pips today, bouncing from the support level at the end of the U.S. session yesterday after liquidity was swept at the 3260 zone. Investors are now looking to buy the dip after the 250+ pip drop in gold over the past few days. Currently, after the strong 80 pip rally, gold is consolidating at the 0.382 Fibonacci retracement zone, with selling pressure mounting.
Key Price Levels to Watch:
Resistance: 3343, 3358, 3376, 3410, 3446
Support: 3210, 3286, 3275, 3230
Market Sentiment:
There’s a strong sell reaction at current levels, which suggests that the price could continue to push lower in both the Asian and European sessions to fill liquidity in the Fair Value Gap (FVG). After the 80 pip rally and 40 pip reaction, the market seems to be consolidating between 3328 and 3320. We expect a price movement range of 80-100 pips today, so caution is advised, especially around key levels at 3376-3378, where a potential sell can be placed.
Next Potential Movements:
If gold fails to break through the 3376-3378 resistance zone, we could see a continuation of the downward move. If the 3376-3378 zone holds strong, this could be a good opportunity to sell.
Should the price break through this zone, we’ll observe the next key resistance around 3410. A break above 3410 could signal a reversal to the upside, turning the trend into a BUY instead of SELL.
Today's Strategy:
For today, the focus will be more on SELL opportunities as gold pushes back to fill the FVG liquidity around 3288. Once we see how the price reacts at these levels, we can start planning for BUY entries.
Watch out for Unemployment Claims data from the U.S. later in the session, as this could trigger volatility. Be cautious when trading around news events, especially in a sensitive market.
Trade Setup:
BUY ZONE: 3230 - 3228
SL: 3224
TP: 3234 - 3238 - 3242 - 3246 - 3250 - 3254 - 3260
SELL ZONE: 3376 - 3378
SL: 3382
TP: 3372 - 3368 - 3364 - 3360 - 3355 - 3350
SELL ZONE: 3408 - 3410
SL: 3414
TP: 3402 - 3398 - 3394 - 3390 - 3386 - 3382 - 3375 - 3370
Risk Management:
It’s important to manage your risk appropriately given the current market conditions. Ensure you’re following your TP/SL levels strictly to protect your capital from market volatility.
