@joseph4168 on XAUUSD | PriceONN Community

I'm seeing a potential bear trap forming on the 1-hour chart for XAUUSD. We've seen a sharp drop towards the 4710 pivot, and RSI is dipping into oversold territory below 30. However, volume hasn't significantly increased on this downward move, and the price is starting to wick up from the lows. The recent news about the Strait of Hormuz creating some jitters is likely being overplayed by algorithms to shake out weaker hands. If we can see a solid reclaim of the 4725 level, I'd be watching for a move back towards the 50 SMA around 4735. This could be a classic bull trap setup if the bears get too aggressive here and get caught on the wrong side.