Technical analysis by AwesomeOscDad about Symbol PAXG: Buy recommendation (7/14/2025)

On the 1H chart, we are currently observing a potential bullish continuation setup forming on XAU/USD. Here’s a detailed breakdown: 🔍 1. AO Bullish Convergence The Awesome Oscillator (AO) shows a clear bullish convergence, suggesting momentum is building in favor of the bulls. This typically signals a potential continuation of the uptrend, especially when paired with structural confirmations. 🌀 2. Elliott Wave Count Wave 1, 2, and 3 are already established on the chart. Price is currently retracing, potentially forming Wave 4, with Wave 5 yet to be completed. The retracement aligns with classic Fibonacci levels, with a potential bounce zone forming at the 1.618 fib extension near 3330–3327, which also acts as a strong SNR zone (support now after previous resistance). 📊 3. Break of Structure (BOS) A clear Break of Structure (3351) confirms bullish intent after wave 3. Price retracement toward the 1.618 zone could present a buying opportunity, as long as this level holds. 🧭 4. Entry Strategy ✅ Buy Bias: Watching for price to enter 3330–3327 zone (1.618 fib + SNR zone). Confirmation needed: Look for another BOS within this zone before entering long. If BOS forms inside this area, we can anticipate a continuation into Wave 5 toward the 3,375 and beyond. ❌ Invalidation: Setup will be considered invalid if price breaks and closes below the 1.618 zone (3327). This would invalidate Wave 4 support and could signal a deeper correction or trend reversal. 🎯 Target Projection: If the setup holds, potential Wave 5 target is projected toward the top zone near 3,410–3,420, based on fib extension and previous price action. 📌 Conclusion: This is a classic bullish Elliott Wave continuation setup backed by AO convergence and structural confluences. Patience is key—wait for BOS confirmation at the 1.618 zone before entering. Always manage risk, especially near fib extension zones. 📅 Published on: July 14, 2025 📍 Timeframe: 1H 💬 Feel free to share your thoughts or setups below. Trade safe!