XAU/USD (Gold/US Dollar), the potential bullish bounce scenario is outlined as follows:
Support Levels:
The 1st support level is identified at 2014.29, characterized as "An Overlap support." This level suggests that historical price action has shown significant buying interest around this area, indicating a potential support zone where traders may anticipate a bounce in price.
The 2nd support level is observed at 2001.14, also labeled as "An Overlap support." Similar to the 1st support level, historical data indicates notable buying activity at this level, reinforcing its role as a support zone.
Resistance Levels:
The 1st resistance level is situated at 2024.72, denoted as "Pullback resistance." This level indicates a significant barrier to further upward movement, where price may encounter selling pressure as it retraces from recent advances.
The 2nd resistance level is at 2039.05, marked as "An Overlap resistance." This level suggests a potential area of strong historical resistance, where previous price action has encountered selling pressure, potentially limiting further bullish movement.
