XAUUSD 1D | Bearish BOS, Sell-Side Liquidity & Potential Bullish

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XAUUSD 1D | Bearish BOS, Sell-Side Liquidity & Potential BullishGoldOANDA:XAUUSDAizaazGold has recently broken below an important daily market structure level around 3,940, showing renewed bearish momentum. After trading within a consolidation range around 4,000–4,200, price has now displaced lower, leaving the market at an important higher-timeframe support region. My focus is on the liquidity resting below the current price and whether gold will seek lower liquidity before attempting a bullish recovery. 1. Daily Market Structure The recent price action shows a bearish break of structure below approximately 3,940. The latest daily candle opened around 4,024 and closed around 3,875, with a low near 3,870. This confirms that sellers currently have control of the short-term daily structure. I am not treating the market as bullish yet. Instead, I am monitoring the next major support and liquidity region for a possible reaction. 2. Important Liquidity Areas Major support area: 3,800–3,815 This is the first important region I am watching below current price. If price continues lower, liquidity around this area could become a potential target. Potential sell-side liquidity: Around 3,700 My projected scenario allows for a deeper move below the major support area before buyers potentially regain control. However, this sweep is only a possibility. Price could react from the 3,800 region without reaching 3,700. 3. Bullish Scenario — Liquidity Sweep & Recovery My preferred scenario is a potential sell-side liquidity sweep below the 3,800 region, followed by a strong bullish reaction. I want to see: Price take the liquidity below the marked support. A clear rejection and reclaim of the swept area. Bullish displacement on the 4H timeframe. A break of a meaningful lower high, confirming bullish MSS. Formation of a bullish FVG or demand zone. A successful retest before considering a long setup. If these conditions develop, the potential recovery target is the 4,150–4,190 region. This area represents an important previous reaction zone and potential overhead supply. 4. Bearish Alternative The daily chart has already broken below the marked structure around 3,940. If price continues accepting below 3,800 and subsequently breaks below 3,700 without a meaningful bullish reclaim, the reversal thesis becomes weaker. In that situation, I would continue respecting the bearish market structure rather than forcing a long position. The 3,940 region could also act as resistance if price attempts a recovery and fails to reclaim it. 5. My Trading Plan I am monitoring the 3,800–3,815 region for a possible liquidity reaction, with 3,700 as a deeper potential sweep area. I do not want to enter simply because price reaches support. The actual confirmation will come from bullish displacement, a 4H market structure shift, and a successful retest. Current daily structure: Bearish. Potential scenario: Bullish recovery after a sell-side liquidity sweep and confirmed reversal. Key support: 3,800–3,815. Potential liquidity target: Around 3,700. Bullish recovery objective: 4,150–4,190. Important resistance: 3,940. The market needs to prove that buyers are taking control before the bullish scenario becomes a valid trading setup. This is a conditional technical-analysis scenario for educational purposes, not a guaranteed trade signal.