(XAU/USD) daily (1D) chart potential support and resistance,(XAU/USD) daily (1D) chart showing potential support and resistance levels along with a projected price movement.
Key observations:
1. Resistance Level: The price is currently near a strong resistance zone (around 2,953 - 2,908), where it might face rejection.
2. Entry Zone: A red “Entry Zone” is highlighted near the resistance, indicating a potential short-selling opportunity.
3. Support Levels: Several support levels are marked, including 2,789, 2,717, and 2,607, which may act as potential price reaction points.
4. Possible Price Movement: A zig-zag pattern suggests that if the price gets rejected at resistance, it could move downward towards 2,607 or lower in multiple waves.
5. Blue Box: A demand zone is highlighted around 2,550-2,600, which could act as a strong support area.
This analysis suggests that if the price fails to break the resistance, a downward correction is likely, and traders should watch key support levels for potential trade opportunities.