GOLD - Strong Trendline & Golden Pocket ContinuationMarket Context
Gold is currently trading within a rising wedge structure on the 4-hour timeframe. This formation typically represents a tightening market, where buyers continue to push higher — but with decreasing momentum. The confluence of both trendlines and repeated Golden Pocket bounces makes this setup technically rich and worth watching closely.
Golden Pocket & Trendline Confluence
Throughout the recent move up, price has consistently reacted to the 0.618–0.65 Fibonacci retracement zone — often referred to as the Golden Pocket. Each major retracement has found support not only at this zone but also at a rising trendline, showing strong alignment between horizontal and diagonal demand. This dual-layer support has repeatedly led to sharp rebounds, reinforcing the bullish structure.
What Comes Next?
Price is currently sitting just below the upper resistance of the wedge. If history repeats, a retracement toward the lower trendline could be the next logical step. A reaction in the same region — where the Golden Pocket once again overlaps the trendline — could offer a high-probability long opportunity for continuation toward the top of the wedge or even a breakout.
Alternatively, if price breaks below the trendline with conviction, it could signal exhaustion in the current structure, potentially flipping the bias toward a broader correction.
Final Thoughts
This is a textbook example of how technical confluence can guide trade planning — especially in clean, trending environments like this. Remember: patience is key. Let the market come to your levels.
If you enjoyed this breakdown, a like would go a long way — and feel free to share your thoughts or ideas in the comments below!
