XAU/USD TECHNICAL ANALYSIS
After a powerful bullish breakout yesterday, now price is directed to the main order block that caused the latest bearish break of structure, before going there it will most likely hit the imbalance placed at 2024,00.
This is a good set up considering price has taken out an important level of liquidity (marked with the yellow line) after which buyers stepped in to take control of the market breaking the first structures in the lower time frame.
I expect the order block placed at 2050 level to hold pretty well and possibly even managing to push the price below the latest low at 2001 to close the imbalance at the 1996 level.
For long entries we wait for price to reach the 2024, with stop below the low at 2016, targeting the order block at 2049 for a 1:3 RR.
For short entries I will wait for price to hit the order block, create a bearish shift of structure in the 5M timeframe and enter a short whit stop above the the high at 2062.3 targeting the imbalance at 1997 for another 1:3 RR
After a powerful bullish breakout yesterday, now price is directed to the main order block that caused the latest bearish break of structure, before going there it will most likely hit the imbalance placed at 2024,00.
This is a good set up considering price has taken out an important level of liquidity (marked with the yellow line) after which buyers stepped in to take control of the market breaking the first structures in the lower time frame.
I expect the order block placed at 2050 level to hold pretty well and possibly even managing to push the price below the latest low at 2001 to close the imbalance at the 1996 level.
For long entries we wait for price to reach the 2024, with stop below the low at 2016, targeting the order block at 2049 for a 1:3 RR.
For short entries I will wait for price to hit the order block, create a bearish shift of structure in the 5M timeframe and enter a short whit stop above the the high at 2062.3 targeting the imbalance at 1997 for another 1:3 RR