GOLD (XAU/USD) TECHNICAL ANALYSIS — BUY SETUP FROM SUPPORT ZONEPair: Gold (XAU/USD)
Timeframe: 1H
Current Price: 3985.23
Trend: Bullish channel (ascending)
📊 Chart Structure Analysis
Ascending Channel:
Gold has been moving in a well-defined upward channel (highlighted in pink).
The price recently touched the upper boundary, suggesting a possible short-term pullback.
Support Zone (Blue Area):
Around 3870–3880, identified as the support level.
This area has confluence with the midline of the channel, making it a potential buy zone.
Entry Point:
Marked at 3871.28 — ideally at or slightly above the support region after a pullback.
Stop Loss:
3857.81, just below the support zone.
This protects against a channel breakdown.
Target Point:
4017–4018, which aligns with the upper resistance or projected extension of the bullish channel.
This gives a reward-to-risk ratio > 3:1, which is favorable.
🔍 Price Action Expectation
Price is expected to retest the blue support zone (possibly after a minor drop).
If it holds, a bounce upward toward 4017–4020 is anticipated.
A break below 3857 would invalidate the bullish setup and open the path to 3820 or lower.
✅ Summary
Parameter Level (USD) Notes
Entry 3,871 Near support
Stop Loss 3,857 Below structure
Target 4,018 Channel resistance
Bias Bullish Buy from dips
RR Ratio ~3.3:1 Good reward setup
