Gold (XAU) delivered a textbook liquidity sweep yesterday, catching traders off-guard after months of sideways action. Institutional players finally revealed their strategy in what became one of the week's most compelling setups.
Gold (XAU) Executes Perfect Liquidity Grab at Daily FVG
The move unfolded exactly as expected. Gold spiked from $3,332.04 to $3,371.29, perfectly hitting the daily Fair Value Gap while sweeping buystops in the $3,360-$3,365 zone. This wasn't coincidental – the level aligned with Previous Day High (PDH), creating the perfect trap for retail buyers.
According to analysis shared on X, smart money used the daily FVG to collect liquidity before immediately reversing course. The alignment between FVG and PDH made this setup almost inevitable for experienced traders watching institutional flow.

Bearish Gold (XAU) Structure Points to $3,329 Target
The sharp reversal from $3,371.29 triggered a fundamental shift in market structure. Sellers emerged with force after the liquidity grab, breaking through intraday support levels and establishing clear bearish momentum.
The 15-minute chart now shows bearish order flow, with any rebounds likely facing resistance around the former buystop zone. The current target sits at $3,329.98 – a key sell-side liquidity level that's been building for days.
Whether this $3,329 zone holds will determine if Gold faces deeper selling pressure. The speed of the move away from $3,371 suggests institutional players may have additional downside targets lined up.