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The price continues to follow a clear descending channel. The short-term rebound remains corrective within the broader downward trend.
Market background
Gold prices are currently under pressure as recent strength in the U.S. dollar and rising bond yields dampen positive momentum. Continued focus on central bank policy outlook and inflation data has led to higher volatility, but flows remain defensive rather than aggressively bullish.
Current annotation
The price has witnessed several bearish breakouts (BOS) during the first half time frame, confirming price continuation. The price recently returned to the 0.5-0.618 correction level, consistent with a clear imbalance on the sell side (FVG), before being rejected and continuing downwards.
Momentum remains intact, with prices now close to previous lows and liquidity below previous levels.
Key trading areas
🟥Sell Liquidity Area
Entries: 4534 – 4536
Revoked: 4544
This area corresponds to the previous FVG and mid-term retracement into which supply previously entered. It represents a structurally valid continuation area in a downtrend.
🟩 Purchase Liquidity Zone
Entries: 4241 – 4239
Canceled: 4231
This area is around equivalent lows/liquidity pools and prices may react due to profit taking or short-term rebalancing after longer-term moves.
future awareness
If prices continue to hold lower highs, continued selling of liquidity will remain the dominant scenario. However, traders will be watching for signs of weakness or shortages on the lower end, which could lead to a deeper correction phase.
Conclusion
Until proven otherwise, the structure remains bearish, with rallies providing potential trend opportunities rather than reversal signals.
