XAUUSD – H1 Timeframe
The horizontal red lines on the attached 1-hour timeframe chart of XAUUSD represent the Fibonacci expansion levels based on the market structure on the daily timeframe. We see that price traded within a rising channel as it approached the resistance level, and broke below the trendline support of the channel shortly after. In this light, I consider it very likely that price resumes its bullish sentiment from the highlighted demand zone.
• The break below the trendline support to reach the demand zone;
• Rally-base-rally demand zone;
• Overall bullish trend;
Analyst’s Expectations:
Direction: Bullish
Target: 2742.79
Invalidation: 2712.53
