XAUUSD: Holding Key Support, Upside Scenario Remains Valid

Jun 4

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

Market Analysis

XAUUSD previously traded inside a broad consolidation range after a sharp decline from higher levels. During this phase, price repeatedly reacted between the 4,530 Resistance Zone and the 4,420 Support Zone, confirming a balanced market structure.

Currently, XAUUSD is trading above the 4,420 Support Zone while forming a recovery from the lower boundary of a large wedge pattern. The recent rebound from support suggests that buyers remain active, while the 4,530 Resistance Zone and the wedge resistance line continue to act as the main upside barriers.

My Scenario & Strategy

My scenario: as long as XAUUSD remains above the 4,420 Support Zone and respects the wedge support line, the bullish recovery remains valid. A continuation higher could push price toward the 4,530 Resistance Zone (TP1), where sellers may become active again.

However, if XAUUSD breaks below the 4,420 Support Zone, the bullish setup would weaken and a deeper decline could follow.

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

Jun 5

Trade active

So far we can see that we managed to reach the sell zone, where sellers immediately stepped in and pushed the price down. I still have hope for a retest of this zone!

Jun 7

Trade closed: target reached

Before the price broke through the wedge structure, the price we determined was able to reach the level of 4.515$, which is a pretty good result in this situation!