Executive Summary
Gold (XAU/USD) is currently approaching a massive daily supply zone. We anticipate a fake-out to the upside before a strong bearish reversal. Wait for the New York session volume shift.
Macro Description & Market Context
Gold has been in a sustained bullish rally driven by weak USD data. However, price action indicates that buyers are becoming exhausted. The algorithms are currently building retail liquidity on both sides of the trendline.
"We do not chase the market. We identify where the algorithms need to deliver price, and we wait for the market to come to our zones."
Key Zones to Watch
- Supply Zone: $2065.00 - $2070.00. Expect strong selling pressure here.
- Demand Zone: $2035.00 - $2040.00. Look for buy confirmations.
