Technical analysis by ProspireWealth about Symbol PAXG: Sell recommendation (5/14/2025)

Technical Breakdown on Gold Spot / USD (XAU/USD) – 1H Chart Analysis using Volume Profile, Gann, and CVD + ADX 1. Key Observations (Volume, Gann & CVD + ADX Focused) a) Volume Profile Insights: Value Area High (VAH): 3,260 Value Area Low (VAL): 3,217 Point of Control (POC): 3,234.27 High-volume nodes: Around 3,234 – confirms consolidation and price acceptance. Low-volume gaps: Below 3,210 and above 3,275 – potential zones for fast moves. b) Liquidity Zones: Stop Clusters Likely At: Upside: 3,260 (prior swing highs). Downside: 3,200 & 3,175 (multiple swing lows). Order Absorption Zones (Delta Spikes): Near 3,234 and 3,217 – large volume with minimal price movement (potential absorption). c) Volume-Based Swing Highs/Lows: Swing High (Volume Spike): 3,275 (bearish rejection) Swing Low (Volume Spike): 3,200 (bullish absorption) d) CVD + ADX Indicator Analysis: Trend Direction: Currently range-bound, with a possible bullish structure forming (wedge channel). ADX Strength: ADX < 20: Weak trend, range likely. CVD Confirmation: Recent rising CVD + price holding above POC = early demand signs Watch for breakout above 3,240 for stronger confirmation. 2. Support & Resistance Levels a) Volume-Based Levels: Support: VAL: 3,217 POC: 3,234 Swing Low: 3,200 (absorption) Resistance: VAH: 3,260 Swing High: 3,275 (recent rejection zone) b) Gann-Based Levels: Confirmed Gann Swing Low: 3,200 Confirmed Gann Swing High: 3,275 Key Retracements from 3,275 to 3,200: 1/2: 3,237.5 1/3: 3,250 2/3: 3,225 3. Chart Patterns & Market Structure a) Trend: Neutral to Bullish Bias – structure forming higher lows within ascending channel. b) Notable Patterns: Falling wedge breakout attempt. Retest of POC zone (3,234) – critical for bullish continuation. Potential double bottom formation near 3,200. 4. Trade Setup & Risk Management a) Bullish Entry (If CVD + ADX confirm uptrend): Entry Zone: 3,234–3,230 (POC support zone) Targets: T1: 3,250 (Gann 1/3 retrace & mid-channel) T2: 3,275 (swing high resistance) Stop-Loss (SL): 3,215 (below VAL + structure invalidation) RR: Minimum 1:2 b) Bearish Entry (If breakdown below 3,217 confirmed): Entry Zone: 3,215–3,217 Target: T1: 3,200 Stop-Loss (SL): 3,235 (above POC) RR: Minimum 1:2 c) Position Sizing: Risk 1–2% of trading capital per trade.