Gold (XAU/USD) Potential Bearish Move Towards Key Support Level

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Gold (XAU/USD) is currently trading around the 3318.760 level on the 2-hour chart. The recent market structure shows clear weakness with the formation of lower highs and lower lows.

If the price breaks below the key support levels at 3317.505 and 3231.027, further downside towards 3146.825, 3081.588, and eventually 3026.212 could be expected. This bearish scenario is supported by technical patterns and the ongoing downward momentum.

The red lines and arrows on the chart indicate the possible bearish path, especially with upcoming major U.S. economic news releases, which could bring increased volatility.

Key Support Levels:

3317.505

3231.027

3146.825

3081.588

3026.212


Key Resistance Level:

3445.704


Idea:
As long as the price remains below 3445.704, the bearish bias will stay intact. If the price action moves as expected, sell setups could be prioritized upon confirmation.

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