“XAUUSD Trendline Break: Possible Retracement Before Next Move”Gold (XAUUSD) has broken below the rising trendline and Ichimoku support zone, showing strong bearish momentum. Price is currently trading around 4112, after rejecting the upper consolidation zones marked on the chart.
The chart highlights two potential retest zones:
1️⃣ First Retest Zone: 4155–4160 (Minor Supply)
This is the first reaction area after the breakdown.
If price retests this zone and rejects, sellers may re-enter strongly.
Ideal for short-term bearish continuation setups.
2️⃣ Major Retest Zone: 4175–4180 (Strong Supply)
A deeper pullback level where previous support has turned into resistance.
If price reaches this region, look for bearish confirmation signals before entering.
Bulls need a clean breakout above this zone to regain control.
Overall Outlook
Trendline break indicates a temporary shift in momentum.
Watch for pullback → rejection → continuation setups.
A bullish recovery only becomes valid if gold reclaims 4178+ with strong volume.
1️⃣ Trendline Break Confirmed
Price broke below the long-respected ascending trendline.
This signals a shift from bullish to bearish momentum.
The breakdown is strong and supported by a sharp red candle.
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2️⃣ Ichimoku Cloud Bearish Shift
Price moved below the cloud → bearish signal.
The cloud ahead is thinning, showing weak bullish support.
Momentum is favouring sellers.
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3️⃣ Previous Consolidation Blocks Marked
You highlighted three old consolidation zones (rectangles).
These zones acted as liquidity pools, and price used them before continuing higher.
Now, price has fallen below them, meaning old support = new resistance.
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4️⃣ Two Key Retest Levels Identified
First retest (minor): 4155–4160
Closest supply zone.
Price may bounce into this area before rejecting.
Ideal for short-term sell setups.
Major retest: 4175–4180
Stronger resistance zone.
Previously acted as support.
Clean rejection here would confirm continuation to the downside.
