The bearish narrative on Gold is not currently playing out as expected. However, this does not automatically shift the market into a sustained bullish environment for the rest of the week. There is still potential for bearish expansion, and that possibility should be considered when managing take profit targets. As always, our role is to react to price, not predict it. At this moment, sellers are not in control, and the market is showing signs of bullish continuation following inducement. Until that changes, we align with what price is delivering — not what we anticipate.

GBPUSD still requires further development, but early signs are pointing towards a potential continuation to the downside. This narrative is also supported by what we’re seeing on USDCAD, with both pairs maintaining their typical inverse correlation, adding confluence to the overall directional view. That said, there is no need to rush execution. High-level trading is built on patience — allowing price to reach key areas and deliver clear confirmation before committing. At this stage, we remain observational rather than reactive. However, it’s a strong start to the session. Unlike yesterday, we now have clearer directional intent, which allows us to approach the market with more structure and confidence.

Coming into the London KTW, we’re seeing price begin to develop after a slow Monday. As mentioned yesterday, the price action looked like manipulation, and the current narrative is continuing to align with that view. At the moment, there are no clear signs of bearish intent. Instead, we’re seeing bullish intent following inducements, which supports the idea of continuation. Right now, I’m watching USDCAD for a break and retest continuation setup. I’m approaching this with a conservative mindset — not looking to be aggressive or set blind limit orders, especially after yesterday’s strong sell-off. I’ll be waiting for proper confirmation before entering. Jumping into a trade just because it aligns with your bias is never the right approach. Trading concepts without context will never work.

EURUSD Trade Idea – Bullish Continuation The current outlook on EURUSD is to continue trading in line with the bullish trend. As outlined in this week’s roadmap, the market structure is still favoring the bullish side, meaning our primary focus is on looking for buying opportunities rather than selling into the trend. At the moment, we are waiting for clear confirmation before entering the trade. Placing a limit order at the current level would require a stop loss that is larger than preferred, which would reduce the quality of the risk-to-reward setup. Because of this, patience is the better approach. We are still within the Key Time Window (KTW) the first hour of the London session, which means there is still plenty of time for price to develop a cleaner setup. The goal now is to allow the market to form proper confirmation, potentially through structure development or a refined entry, which would allow for a smaller stop loss and a higher-quality trade opportunity.

Gold has been ranging since last Tuesday, so expecting a larger move to develop soon is a reasonable outlook. When markets remain in consolidation for several sessions, they often build liquidity on both sides of the range before eventually delivering a stronger expansion. However, it’s important to understand that Gold tends to behave differently when it is ranging. During these periods, price often moves back and forth within the range with the goal of trapping traders and collecting liquidity. Because of this behaviour, it’s important to approach the market with patience and caution, rather than trying to anticipate the breakout too early. The best approach in these conditions is to wait for clear confirmation once price induces into a marked Point of Interest (POI). This helps ensure that the market has completed the liquidity grab before committing to a trade. At the moment, Gold appears to be forming a Break-and-Test (B&T) setup, with price having recently mitigated a Smart Money Trap (SMT). This suggests that the market may be preparing for the next phase of movement, but confirmation is still needed. If price continues to respect the supply area and begins to move lower, the next step we would ideally want to see is the market trapping sellers and inducing into our POI. From there, we would wait for confirmation before entering the trade. Ideally, this confirmation would come in the form of a 2-leg protocol, which would allow for a tighter stop loss and more refined entry compared to waiting for a full Break of Structure (BOS). This approach helps improve the risk-to-reward potential while still maintaining confirmation that the market is ready to move. In ranging environments, patience is key. Allowing the market to complete the liquidity process and confirm direction can help avoid false moves and position you for the higher-probability setup when the real expansion begins. 📈