Chart Explanation:
This 4-hour chart for Gold Spot (XAU/USD) displays a technical analysis indicating a potential bearish move following a price rejection from a key resistance zone:
Resistance Zone (Red Box ~ $3,220–$3,240): Price sharply reacted after touching this zone, signaling strong selling pressure or profit-taking at this level.
Price Action: After a bullish rally, the price reached the resistance and was immediately rejected, forming a sharp wick down—indicating a reversal is likely.
Short-Term Projection:
TP1 (Take Profit 1) at $3,140: This is the first minor support level where traders might take partial profits if shorting.
TARGET at $3,060: A stronger support level and the main target zone for the potential bearish move. This aligns with prior consolidation and breakout levels.
Support Zone (Yellow Box ~ $2,940–$2,980): This is a historically strong demand zone, where price previously reversed and may again find buyers if the bearish move extends further.
Conclusion: The chart suggests a short-term bearish outlook for Gold, with a high probability of retracement to $3,060 after the resistance rejection, unless price reclaims the highs above $3,240.
Note: This is not a trading signal, just my personal analysis based on current market trends.
This 4-hour chart for Gold Spot (XAU/USD) displays a technical analysis indicating a potential bearish move following a price rejection from a key resistance zone:
Resistance Zone (Red Box ~ $3,220–$3,240): Price sharply reacted after touching this zone, signaling strong selling pressure or profit-taking at this level.
Price Action: After a bullish rally, the price reached the resistance and was immediately rejected, forming a sharp wick down—indicating a reversal is likely.
Short-Term Projection:
TP1 (Take Profit 1) at $3,140: This is the first minor support level where traders might take partial profits if shorting.
TARGET at $3,060: A stronger support level and the main target zone for the potential bearish move. This aligns with prior consolidation and breakout levels.
Support Zone (Yellow Box ~ $2,940–$2,980): This is a historically strong demand zone, where price previously reversed and may again find buyers if the bearish move extends further.
Conclusion: The chart suggests a short-term bearish outlook for Gold, with a high probability of retracement to $3,060 after the resistance rejection, unless price reclaims the highs above $3,240.
Note: This is not a trading signal, just my personal analysis based on current market trends.
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.