Gold Analysis $XAU – A Neutral Outlook Tilted Towards the Upside
The market is still holding the overall bullish framework, but the recent movement has shown a phase of hesitation or consolidation, rather than a complete reversal in direction.
Technical Outlook on the 4-Hour Frame
Currently, an inverted head and shoulders pattern is forming, which is one of the positive reversal patterns if confirmed.
The head touches an important demand area, and the shoulders show a clear weakness in selling pressure.
⬅️ Positive Scenario
A clear break of the neckline (around 4409–4420) and stability above it enhances the chances of rising towards the next resistance area at around 4495, which is a previous peak area. Confirmation of momentum is required before a strong entry.
⛔️ Negative Scenario
If the price fails to break the neckline and retreats below the head area (near 4276), then the pattern fails, and we may see a downward extension towards 4198 amid weak liquidity there.
Summary
The market is in a transitional state, but the eye is on the inverted head and shoulders pattern as a decisive factor for the upcoming direction.
#XAUUSD #GoldAnalysis #TechnicalOutlook #GoldTrading #PriceAction