📉 Bearish Analysis XAU/USD – SMC
🔹 1. Previous Market Structure
• Price was respecting a train line (trendline) which was broken aggressively, confirming a Break of Structure (BOS).
• After that, the market created a fake out above the resistance zone, grabbing liquidity from early buyers.
🔹 2. Signs of Weakness
• A clear rejection at the resistance zone, showing that buyers lost control.
• The train line break also signals a Change of Character (ChoCh), suggesting the beginning of a bearish swing.
🔹 3. Prior Mitigation Completed
• Price already mitigated key zones, including the 1H Order Block (OB-1H) and previous 1H Fair Value Gap (FVG).
• A new bullish FVG was formed but seems to have been rejected, adding to the bearish pressure.
🔹 4. Trade Plan
• Entry: Rejection after the fake out within the red supply zone
• Target: Support zone between 3,355 – 3,352, where liquidity is likely resting
• Stop Loss: Above resistance and the last BOS to avoid being caught by manipulation
💡 Summary for your caption:
“Price broke the trendline and showed clear weakness at resistance, leaving behind unmitigated interest at lower levels. The FVG rejection suggests institutional intent. High-probability short setup targeting the support zone.” GOOD LUCK TRADERS.. ;)
🔹 1. Previous Market Structure
• Price was respecting a train line (trendline) which was broken aggressively, confirming a Break of Structure (BOS).
• After that, the market created a fake out above the resistance zone, grabbing liquidity from early buyers.
🔹 2. Signs of Weakness
• A clear rejection at the resistance zone, showing that buyers lost control.
• The train line break also signals a Change of Character (ChoCh), suggesting the beginning of a bearish swing.
🔹 3. Prior Mitigation Completed
• Price already mitigated key zones, including the 1H Order Block (OB-1H) and previous 1H Fair Value Gap (FVG).
• A new bullish FVG was formed but seems to have been rejected, adding to the bearish pressure.
🔹 4. Trade Plan
• Entry: Rejection after the fake out within the red supply zone
• Target: Support zone between 3,355 – 3,352, where liquidity is likely resting
• Stop Loss: Above resistance and the last BOS to avoid being caught by manipulation
💡 Summary for your caption:
“Price broke the trendline and showed clear weakness at resistance, leaving behind unmitigated interest at lower levels. The FVG rejection suggests institutional intent. High-probability short setup targeting the support zone.” GOOD LUCK TRADERS.. ;)
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.