Search This Blog

Wednesday, July 8, 2026

XAUUSD — Corrective Recovery After Rejecting $4,022 Low

XAUUSD — Corrective Recovery After Rejecting $4,022 Low

Gold OANDA:XAUUSD



Gold is trading around $4,062 after rejecting the lower area near $4,022. The market failed to continue the immediate downside move, so today gold may first create a corrective recovery before deciding the next larger direction.

From an SMC perspective, gold has already swept the lower liquidity near $4,022 and reacted from the FVG buy zone around $4,044–$4,060. This reaction shows that sellers may be losing short-term momentum, but the overall structure is not fully bullish yet. Price still needs to reclaim the upper FVG areas before a stronger recovery can be confirmed.

The main plan for today is to watch how gold reacts after the rejection from $4,022. If price holds above the FVG buy zone and forms bullish confirmation, gold may correct higher toward the middle FVG area first, then the FVG sell zone around $4,135–$4,141. That upper zone remains important because sellers may defend the structure there.

Buy setup 1

Condition:
Gold holds above the FVG buy zone around $4,044–$4,060 and forms bullish rejection with lower timeframe MSS / CHOCH.

Entry: $4,044–$4,060
SL: below $4,022
TP1: $4,090
TP2: $4,110–$4,115
TP3: $4,135–$4,141

Buy setup 2

Condition:
If gold breaks above the middle FVG area and retests it as support, the corrective recovery can continue toward the upper sell zone.

Entry: above $4,115 after breakout retest
SL: below $4,080
TP1: $4,135–$4,141
TP2: $4,160
TP3: $4,202 weekly high

Sell setup 1

Condition:
Gold reaches the FVG sell zone around $4,135–$4,141 and shows clear bearish rejection.

Entry: $4,135–$4,141 after rejection
SL: above $4,160
TP1: $4,090
TP2: $4,044–$4,060
TP3: $4,022

Sell setup 2

Condition:
If gold fails to hold above $4,022 and breaks the low cleanly, the correction view becomes invalid and sell-side liquidity may become the next target.

Entry: below $4,022 after breakdown retest
SL: above $4,060
TP1: $4,000
TP2: $3,980
TP3: $3,960 sell-side liquidity

Key levels

Current price area: $4,062
FVG buy zone: $4,044–$4,060
Rejected low: $4,022
Middle FVG reaction zone: $4,090–$4,115
FVG sell zone: $4,135–$4,141
Short-term resistance: $4,160
Weekly high liquidity: $4,202
Sell-side liquidity: $3,960
Bullish correction confirmation: clean break above $4,115
Stronger bullish confirmation: clean break above $4,141
Bearish continuation confirmation: clean break below $4,022

My current view is that gold may correct higher today after rejecting the decline at $4,022. The Prime Gold plan is to avoid selling low after the sweep and wait for either a buy confirmation around $4,044–$4,060 or a clearer sell reaction from $4,135–$4,141. If the $4,022 low breaks cleanly, the downside path toward $3,960 becomes active again.

No confirmation, no trade.



source https://www.tradingview.com/chart/XAUUSD/cEd6BZWY-XAUUSD-Corrective-Recovery-After-Rejecting-4-022-Low/

No comments: