LiamTrading – XAUUSD H1 | Gold forming Head–Shoulders Pattern...LiamTrading – XAUUSD H1 | Gold forming Head–Shoulders Pattern, waiting for pullback to POC for entry
Gold is completing the final bullish leg of the Head–Shoulders structure on the H1 timeframe.
Price has now reached the Fibonacci zone (both retracement + extension), which also aligns with a resistance cluster and the POC of the Volume Profile — so the current choppy reaction is completely normal.
My plan is to use this pullback:
→ prioritize short-term Buy entries following the current bullish leg,
→ then look for Sell setups at the strong resistance above.
Macro Background
Russia continues missile strikes on Kyiv right after the US–Ukraine reached a “19-point framework”, causing peace prospects to stall again.
However, secret negotiations among the US, Russia, and Ukraine in Abu Dhabi are still ongoing, though no major terms have been finalized.
With “war not stopping – negotiations not settled”, global risk sentiment remains tense.
This keeps medium–long-term demand for Gold strong.
But in the short term, price may still show wide swings around key technical zones before choosing a clearer direction.
H1 Technical Analysis – Head & Shoulders, Fibonacci, Volume Profile
The Head–Shoulders pattern is now clearly visible.
Price is currently in the right-shoulder completion phase, approaching upper resistance.
Gold at the moment is:
Hitting the Fibonacci retracement of the previous decline.
Also overlapping with the Fibonacci extension of the short-term bullish wave → high chance of reaction and volatility.
Below price, the 4090–4093 zone is a support/mini-POC area where Volume Profile thickens — ideal for a short-term Buy following the current bullish structure.
Above price, the 4185–4187 zone is a strong resistance cluster:
Confluence of potential right-shoulder top + old supply + Fibonacci extension.
This is the area I will prioritize for Sell setups once the pattern completes.
Notable Support/FVG zones:
4122–4116 (near support)
4169–4210 (mid-term FVG/resistance)
Reference Trading Scenarios
1. Buy with the current bullish wave (short-term)
Buy: 4091–4093
SL: 4085
TP: 4120 → 4145 → 4170 → 4190 → 4220
Logic:
Buy at the confluence support + small POC, taking advantage of the upward push completing the right shoulder.
Once the trade reaches +1R, shift SL to breakeven to protect capital.
2. Sell at the Head–Shoulders resistance zone (medium-term priority)
Sell: 4185–4187
SL: 4193
TP: 4170 → 4155 → 4130 → 4110
Logic:
This is a strong resistance zone overlapping the supply region and Fibonacci extension.
Only activate the Sell if H1/M15 shows clear rejection signals (pin bar, bearish engulfing, weak volume) around 4185–4187.
Additional Levels to Watch
Support – FVG: 4122–4116
Resistance – FVG: 4169–4210
Can be used for quick scalp opportunities, but the main scenarios remain:
Buy near 409x as long as major resistance hasn’t been touched.
Sell near 418x when the Head–Shoulders structure shows completion signs.
