Lingrid | GOLD Weekly Analysis: Breakout Confirmed, What’s Next?OANDA:XAUUSD concluded a week by breaking above the key levels and reclaiming the $4,200, signaling a continuation of bullish momentum after a period of compression. This breakout from the consolidation pattern suggests that buyers have regained control and are pushing price toward the November high. The 4H chart shows a clear higher low formation, which is a classic sign of underlying strength in an uptrend. However, this victory is not yet complete; it is now entering a critical phase where it must prove its strength by holding above the broken levels and overcoming the formidable resistance area above.
TVC:GOLD has broken out of a triangle pattern, which is trend continuation pattern. Historically, such patterns lead to a measured move upward, targeting the height of the triangle’s base added to the breakout point. While this offers a bullish target near $4,330, a potential pullback from point C might occur before the final leg higher. This pullback scenario is common and should be viewed as a buying opportunity rather than a reversal signal. The monthly chart confirms the broader bullish bias, with price trading well above the monthly low and approaching the October high, a key psychological and technical hurdle that will require strong conviction to overcome.
Looking ahead, the path forward is not guaranteed. The immediate support is now around $4,160, which must hold firm to validate the breakout. A failure to hold this level could lead to a retest of the $4,100 range, potentially triggering a deeper correction. Additionally, next week’s high-impact economic data such Non-Farm Employment Change, Core PCE, and Unemployment Claims—will be pivotal. Strong US data could pressure gold by strengthening the dollar, while weaker-than-expected numbers could fuel the rally. For now, the bias is bullish, but caution is warranted as the market approaches next major test.
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