Whenever the majority of traders lose confidence in a particular direction—and it feels like the market has no strength left to continue—that’s often when a sharp and unexpected reversal happens. These moves catch most people off guard. I believe today could be one of those days. So let’s break down the likely direction and our plan of action for gold this Tuesday using market psychology and key institutional levels.
In my weekly analysis, I clearly mentioned the key support levels at **$4085** and **$4135**. The market is still respecting these zones, which shows they are strong institutional support levels. My plan has been simple: as long as gold holds above this zone, the focus is on trapping sellers.
On Monday, we did see an upside move, but there was no continuation. However, I had already mentioned that a sustained move wouldn’t come below **$4300** easily. The market would deliberately create a pullback to make traders believe it’s a retracement so they start selling. As you can see, overall price action and trend still look bearish, which is why many traders were waiting for pullbacks to sell—and they got that opportunity yesterday.
A lot of sellers have now entered the market because the retracement came from a publicly visible resistance area. That’s exactly why this looks like a trap. If you look at last week’s sharp fall on June 17, the low was around **$4220**. Yesterday, the market respected this level as resistance and moved down, forming a lower high structure—something that further convinced traders to sell.
The most important point is today’s opening below **$4200**. Monday also closed below **$4200**, so many traders likely entered sell positions near the close with stop losses above **$4200**. Even today, the market opened below **$4200** and didn’t hunt those stop losses yet. This strongly suggests that a large number of traders are currently in sell positions.
And that’s exactly why I believe the market is preparing to trap these sellers. An upside move is very likely in the coming hours.
This entire bullish plan remains valid as long as gold stays above **$4085**. I’m expecting a bigger upside target because both last week’s low and this Monday’s low have already been swept—indicating liquidity has been taken. Many traders are now randomly jumping into sell positions, and the market tends to move against the majority.
**Trading Plan:**
Liquidity sweep is already done, and I am already in a long position on gold. For a safer entry, you can wait for a **15-minute candle close above $4135**, and then look for strong buying opportunities.
Good luck to everyone—share your trading plan in the comments 👇
In my weekly analysis, I clearly mentioned the key support levels at **$4085** and **$4135**. The market is still respecting these zones, which shows they are strong institutional support levels. My plan has been simple: as long as gold holds above this zone, the focus is on trapping sellers.
On Monday, we did see an upside move, but there was no continuation. However, I had already mentioned that a sustained move wouldn’t come below **$4300** easily. The market would deliberately create a pullback to make traders believe it’s a retracement so they start selling. As you can see, overall price action and trend still look bearish, which is why many traders were waiting for pullbacks to sell—and they got that opportunity yesterday.
A lot of sellers have now entered the market because the retracement came from a publicly visible resistance area. That’s exactly why this looks like a trap. If you look at last week’s sharp fall on June 17, the low was around **$4220**. Yesterday, the market respected this level as resistance and moved down, forming a lower high structure—something that further convinced traders to sell.
The most important point is today’s opening below **$4200**. Monday also closed below **$4200**, so many traders likely entered sell positions near the close with stop losses above **$4200**. Even today, the market opened below **$4200** and didn’t hunt those stop losses yet. This strongly suggests that a large number of traders are currently in sell positions.
And that’s exactly why I believe the market is preparing to trap these sellers. An upside move is very likely in the coming hours.
This entire bullish plan remains valid as long as gold stays above **$4085**. I’m expecting a bigger upside target because both last week’s low and this Monday’s low have already been swept—indicating liquidity has been taken. Many traders are now randomly jumping into sell positions, and the market tends to move against the majority.
**Trading Plan:**
Liquidity sweep is already done, and I am already in a long position on gold. For a safer entry, you can wait for a **15-minute candle close above $4135**, and then look for strong buying opportunities.
Good luck to everyone—share your trading plan in the comments 👇
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.