Technical analysis by Henrybillion about Symbol PAXG on 7/3/2025

On the daily chart of XAUUSD, we are witnessing a clearly defined Elliott Wave structure, with the potential formation of an extended wave (5) targeting the $3,726 region — aligned with the 0.618 Fibonacci extension. This is a key technical signal that could capture the attention of both long-term investors and strategic swing traders.1. Elliott Wave Overview:Wave (3) concluded at the peak around $3,365, followed by a textbook a-b-c corrective pattern.Waves "a" and "b" are clearly identifiable, with wave "c" appearing to have completed.The current price action suggests a rebound from the bottom of wave c — a strong indication of a possible start to wave (5).2. Wave (5) Target Zone:The Fibonacci 0.618 extension projects a target near $3,726 — a significant price level the market could approach if bullish momentum builds up.This level also serves as a psychological resistance zone, so expect possible volatility as the price nears this area.3. Price Behavior & Confirmation Signals:Recent candlestick formations reveal renewed buying interest, with multiple bullish candles showing long bodies and lower wicks.Holding above the key support around $3,300 is crucial for confirming the formation of an uptrend.A breakout above the $3,365 high (wave (3) peak) would be a strong signal that wave (5) is in motion.4. Suggested Trading Strategies:Buy limit: Consider entries around the $3,310 – $3,320 support zone on a retest.Buy breakout: Trigger entries if price breaks decisively above $3,365 with strong volume.Take profit: Gradually scale out positions around the $3,680 – $3,726 area.Stop loss: Place stops below the wave c bottom — under $3,245.5. Conclusion:XAUUSD is currently in a sensitive phase with a high probability of a bullish breakout. The Elliott Wave structure shows that there is still considerable upside potential. However, traders should maintain strict risk management, as wave (5) formations often involve significant price swings.