Gold Technical Analysis - Potential Rising Wedge Signals Caution
Gold (XAU/USD) is trading around $3,340 - $3,350 area, exhibiting a bullish market structure characterized by higher highs and higher lows. The price has recently tested the resistance zone between $3,330 and $3,350, a level that has previously acted as a ceiling for upward movements. A decisive break above this resistance could pave the way for further gains, with potential targets at $3,371 and beyond. Conversely, failure to sustain above this level may lead to a pullback toward the support zone around $3,300.
The rising wedge on Gold signals caution for bulls. Unless there's a strong breakout above $3,365, the pattern favors a bearish move toward $3,250 or lower.
✅ Long Bias – Bullish Outlook
Gold is currently trading in an uptrend, supported by:
Higher lows and higher highs structure.
Strong bullish momentum on the rebound from the recent dip around $3,120.
Fundamentals like economic uncertainty, interest rate cut expectations, or geopolitical tension that often support gold prices.
If price breaks and holds above $3,350–$3,365, it would confirm bullish continuation, and a long position targeting $3,400–$3,500 is valid.
🔻 Short Setup – Bearish Outlook
Consider a short trade only if:
Price gets rejected from $3,350–$3,365.
A lower high is confirmed (on H4 or Daily TF).
Bearish candlestick patterns appear at resistance.
Break below $3,300 would open downside targets to $3,250, and potentially $3,200.
⚠️ Caution Zone – Potential Pullback
However, there are early signs of exhaustion:
Price is testing a descending trendline + previous weekly high (~$3,330–$3,350) – a key decision point.
If rejection is confirmed, we might see a retest of support near $3,300 or $3,250.
📊 Current Market Structure
Chart Pattern: Rising Wedge
Timeframe: 4H and Daily
Resistance Trendline: Connecting recent highs around $3,320 → $3,350 → $3,365
Support Trendline: Connecting higher lows around $3,250 → $3,300 → $3,330
Note
Please risk management in trading is a Key so use your money accordingly. If you like the idea then please like and boost. Thank you and Good Luck!
The rising wedge on Gold signals caution for bulls. Unless there's a strong breakout above $3,365, the pattern favors a bearish move toward $3,250 or lower.
✅ Long Bias – Bullish Outlook
Gold is currently trading in an uptrend, supported by:
Higher lows and higher highs structure.
Strong bullish momentum on the rebound from the recent dip around $3,120.
Fundamentals like economic uncertainty, interest rate cut expectations, or geopolitical tension that often support gold prices.
If price breaks and holds above $3,350–$3,365, it would confirm bullish continuation, and a long position targeting $3,400–$3,500 is valid.
🔻 Short Setup – Bearish Outlook
Consider a short trade only if:
Price gets rejected from $3,350–$3,365.
A lower high is confirmed (on H4 or Daily TF).
Bearish candlestick patterns appear at resistance.
Break below $3,300 would open downside targets to $3,250, and potentially $3,200.
⚠️ Caution Zone – Potential Pullback
However, there are early signs of exhaustion:
Price is testing a descending trendline + previous weekly high (~$3,330–$3,350) – a key decision point.
If rejection is confirmed, we might see a retest of support near $3,300 or $3,250.
📊 Current Market Structure
Chart Pattern: Rising Wedge
Timeframe: 4H and Daily
Resistance Trendline: Connecting recent highs around $3,320 → $3,350 → $3,365
Support Trendline: Connecting higher lows around $3,250 → $3,300 → $3,330
Note
Please risk management in trading is a Key so use your money accordingly. If you like the idea then please like and boost. Thank you and Good Luck!
Trade active
Gold has broken rising wedge to the downside after testing $3,340 - $3,350 and now this suggests a potential shift from the previous uptrend to a downtrend. Gold is trading around $3,324. The breakdown from the wedge indicates increased selling pressure.Key Support Levels:
$3,320: A critical level; falling below this may accelerate the downtrend.
$3,288: Next significant support; aligns with previous consolidation zones.
Key Resistance Levels:
$3,350: Near-term resistance; a retest and failure to break above could confirm bearish momentum.
$3,357 - $3,365: Stronger resistance zone; surpassing this range may invalidate the bearish outlook.
Recent geopolitical developments, including the delay in U.S. tariffs on the European Union, have reduced immediate safe-haven demand for gold. Additionally, expectations of Federal Reserve rate cuts and a weakening U.S. dollar continue to influence gold prices.
Trade closed: target reached
Our target has been hit at $3,250
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.