Gold Weakens Further After Breaking 4055 – Downside Risk Expands

Nov 17

📊 Market Overview
Gold has dropped to 4050 as buying pressure weakens, with the market awaiting fresh catalysts from the European session. Cautious sentiment dominates, preventing buyers from regaining momentum after the earlier rise.

📉 Technical Analysis
Key Resistance Levels
• R1: 4060 – 4068 (near-term resistance)
• R2: 4078 – 4085 (strong resistance during EU–US sessions)
• R3: 4098 – 4105 (major rejection zone; a breakout would confirm a larger bullish trend)
Key Support Levels
• S1: 4050 – 4042 (nearest support)
• S2: 4035 – 4028 (strong support with high probability of rebound)
• S3: 4015 – 4008 (deep support; breaking below may form a medium-term downtrend)
EMA & Momentum
• Price is trading below the EMA 09, confirming short-term bearish momentum.
• Bearish momentum remains strong with weak pullbacks and no reversal patterns.
Candle Structure
• M5–M15 candles show sellers actively suppressing price around 4055.
• A break below 4048 may trigger stronger selling pressure.

📌 Outlook
Gold may continue to decline in the short term if it breaks clearly below 4048, targeting 4042 → 4035.
Conversely, if price closes above 4058, short-term bullish momentum may return, aiming for 4068 → 4078.

💡 Trade Ideas
🔻 SELL XAU/USD : 4082 – 4085
🎯 TP: 40 / 80 / 200 pips
❌ SL: 4088
🟢 BUY XAU/USD: 4011– 4008
🎯 TP: 40 / 80 / 200 pips
❌ SL: 4005

Nov 17

Trade active

If gold holds above 4085, it may continue toward 4095 → 4105.

Nov 17

Trade closed: target reached

Gold surged from 4072 to 4085, hitting the SELL stop-loss at 4075–4078. This indicates short-term buying pressure dominates, with the market temporarily turning neutral to slightly bullish. Previous selling pressure could not hold.