FOMC Sweep Recovery Likely Fake-Out; Deeper Sell-Side Liquidity.XAU/USD Spot - GoldFX:XAUUSDMichael_Fx_TraderCombining the 4H and 5-minute charts gives a clearer picture of the current market narrative. On the 4H chart, gold rallied from the early-August low into the "Buy Side Liquidity" zone near 4,680–4,720, then reversed sharply from the "Strong FVG" / HTF trendline resistance zone around 4,480–4,600. Price declined through a defined HTF trendline channel, breaking below the "Order Block" and into the "FVG" + "Sell Side Liquidity" pool near 4,240–4,300 — the same demand zone respected back in early August. This decline is exactly where the 5-minute chart picks up the story. On the 5-minute chart, the sharp drop labeled "FED LIQUIDITY FOMC" shows the immediate bearish reaction to the FOMC event — price fell fast from the "Premium Zone" into the "Discount Zone," sweeping the marked "Sell Side Liquidity" level near 4,230–4,240. This is the same liquidity pool highlighted on the 4H chart, confirming that the FOMC-driven selloff was essentially a liquidity grab into an already-anticipated demand zone. After that sweep, price is shown recovering — forming higher lows and higher highs back up toward the "Buy Side Liquidity" line near 4,360–4,370, drawn with a green bullish arrow projecting continued upside. This matches the 4H chart's "FED LIQUIDITY INJECT" arrow, which also projects a bullish move back up toward the 4,480–4,600 supply zone. However, per your view, this recovery leg is being read as a corrective bounce, not the final reversal — meaning after this short-term bullish push toward 4,360–4,370 (buy-side liquidity on the 5-min chart), price is expected to roll over again and push lower to fully retest and sweep the sell-side liquidity near 4,230–4,240 (or potentially lower, toward the 4H "FVG"/"Order Block" zone) before any sustainable reversal happens. This aligns with typical ICT/SMC logic: a liquidity sweep often gets partially recovered (inducement) before price returns to take out remaining liquidity below, especially when the higher timeframe (4H) structure is still technically bearish/ranging until a clear break of structure occurs above the HTF trendline resistance. Key takeaway: The current bullish bounce is likely a retracement/inducement move within a larger bearish-to-neutral structure. The higher-probability path, per this analysis, is one more leg down to fully clear the sell-side liquidity pool near 4,230–4,240 before a genuine bullish reversal targets the 4,480–4,720 supply/buy-side liquidity zone.