XAUUSD: Sellers Defend $4,300 — Potential Drop Toward $4,180

Aug 6

Hello everyone, here is my breakdown of the current XAUUSD setup.

Market Analysis

XAUUSD previously traded inside a descending channel before breaking above the channel resistance, confirming a bullish shift in market structure. Price then continued higher inside an ascending channel, breaking above the wedge resistance and reclaiming the 4,180 Support Zone. The latest rally reached the 4,300 Resistance Zone, where buyers lost momentum and sellers stepped in.

Currently, XAUUSD is trading below the 4,300 Resistance Zone while remaining above the 4,180 Support Zone and the lower boundary of the ascending channel. The recent rejection from resistance suggests that a short-term pullback could develop.

My Scenario & Strategy

As long as XAUUSD remains below the 4,300 Resistance Zone, the bearish correction scenario remains valid. A rejection from current levels could push price back toward the 4,180 Support Zone (TP1).

However, if XAUUSD breaks and closes above the 4,300 Resistance Zone, the bearish outlook would weaken, opening the door for a continuation toward new highs.

That’s the setup I’m tracking. Thank you for your attention, and always manage your risk.

Aug 7

Trade active

We see that after reaching the center of the ascending channel, the price once again gave an impulse to retest the resistance, but the sellers are confidently holding on, so we can expect a pullback to our target from this zone!

Aug 9

Trade closed manually

The chart shows that the pullback occurred only to the middle of the channel, after which there was a second upward impulse. Therefore, the scenario is not valid.