Elliott Wave Analysis – XAUUSD | June 18, 2025
🌀 Current Wave Structure on H4
The recent drop has broken below the previously labeled wave 1 zone, requiring an adjustment to our wave count. Following the abc corrective move (black), a potential triangle formation is emerging.
At this point, we’re monitoring two possible scenarios:
🔹 Scenario 1 – Triangle as a Wave X Correction:
Price is forming an abcde triangle, potentially part of a larger WXY corrective structure. If this plays out, we may see a strong decline forming wave Y, targeting a break below 3297, and possibly extending to 3248.
🔹 Scenario 2 – Leading Diagonal Triangle as Wave 1:
If this is a leading diagonal triangle for wave 1, then wave 1 is likely completed, and we are currently in wave 2. In this scenario, price should hold above 3248, with likely support zones around 3335 or 3300.
🎯 Key Price Zones & Resistance Levels
Major Resistance: 3389 – 3402 (based on volume profile) – prime area for potential short setups.
Short-term Resistance Levels: 3389, 3402, 3412 – watch for reversal signals here.
🔻 Momentum Outlook
Daily (D1): Momentum is declining and expected to enter oversold territory within 2 candles – indicating a weakening downtrend and supporting the leading diagonal scenario.
H4: Momentum is preparing to turn bearish – supports short opportunities.
H1: Already turned bullish – suggests a possible corrective bounce before the next drop.
📌 Trade Plan
🔴 Sell Zone: 3400 – 3403
• SL: 3410
• TP1: 3365
• TP2: 3335
🟢 Buy Zone 1: 3335 – 3332
• SL: 3325
• TP1: 3365
• TP2: 3402
🟢 Buy Zone 2: 3302 – 3209
• SL: 3292
• TP1: 3335
• TP2: 3365
• TP3: 3402
