Structure
Downtrend → corrective rally within broader weakness
Location
Price is currently positioned in the upper zone, approaching a key supply area
Zones
- Supply Zone: 4780 – 4850
- Pivot Zone: 4660 – 4700
- Demand Zone: 4420 – 4500
Behaviour
Price is testing the supply zone, with early signs of rejection. This suggests the presence of selling pressure, but confirmation is still required.
Context
The current move is a corrective rally following a sharp decline. The supply zone marks a prior area of strong rejection and is now being retested.
Structural Interpretation
The overall structure remains bearish. The corrective move into supply is a typical behaviour within a downtrend. The reaction at this zone will determine whether the trend continues or transitions.
Invalidation
Acceptance above the supply zone would indicate a potential structural shift.
Continuation
Rejection at supply may lead to downside continuation.
Acceptance below the pivot zone may confirm further weakness.
Core Principle
Markets react in zones, not exact numbers.
https://www.tradingview.com/chart/XAUUSD/er8P8MEG-Gold-XAUUSD-02-Apr-2026/
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