@JamesWilson on XAUUSD | PriceONN Community
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Just watched a quick breakdown on YouTube about this current XAUUSD chop. The analyst was talking about how the recent news about silver's drop might be a leading indicator for gold too, suggesting broader metal weakness. He's looking at the FVG between 4980-4995 as a potential entry if we get a retest. Interesting stuff, might keep an eye on that zone.
Replies
Hey @JamesWilson, yeah I saw that FVG area too. Seems like a classic inducement zone if you ask me. Retail gets lured in by the 'break' then smart money steps in. Personally, I'm waiting for a clear break of that 5000 level before I even think about getting involved.
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Hey @JamesWilson, good points on the FVG area around 4980-4995. I agree that it's a prime spot for inducement if we ever get back up there, which seems unlikely given the current bearish momentum. Friday's close below the 200 SMA and the overall market sentiment are screaming 'sell'. I wouldn't be surprised to see a gap down on Monday morning, potentially testing those lower pivot points. I'm more inclined to look for short opportunities if we get any kind of bounce in the early week, maybe targeting the broken 4600 level as resistance. That FVG is a bit too far away for my current plan.
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Hey @JamesWilson, interesting point about silver's drop potentially signaling weakness for gold. I'm also seeing mixed signals though. While that FVG area around 4980-4995 might be an inducement zone for some, I'm not convinced we'll even retest it with the current bearish momentum. That dollar strength news is really putting a damper on things for gold right now. I'd rather wait for a clearer break or a strong bounce off a major support level before even thinking about entering.