In the current structure, after several consecutive Breaks of Structure (BOS) to the downside, price has rallied back up into the 4H Fair Value Gap. This rally is primarily corrective rather than the beginning of a trend reversal. The fact that price tapped directly into the 4H FVG while entering a premium distribution zone reinforces that the dominant order flow is still bearish.
More importantly, during the climb upward, price reacted to internal supply blocks (mid-OBs), showing rejection on first touch. This reaction indicates that larger participants are distributing in premium rather than building long positions. The rejection off the FVG is consistent with a “correction into imbalance” logic — price took external liquidity above, mitigated imbalance, and now we are likely forming a new swing high.
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Therefore, the dominant scenario remains a return into discount and lower objectives. The mid pink zone can act as the first potential demand or short-term pause, but the more meaningful target sits around 1.15006. If the upcoming candles confirm structural exit from premium, acceleration to the downside is expected — because liquidity has been taken above and redistribution has begun.
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