Gold 1h Potential H&S

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Gold (XAU/USD) 1H Analysis – April 2, 2025
Pattern Identified:
Head and Shoulders Formation detected, indicating a potential bearish reversal.

The neckline has been drawn as a support trendline, which, if broken, could confirm further downside movement.

Key Levels:
Current Price: $3,123.55

Neckline Support: Around $3,120

Target Area: $3,070 - $3,060 (Marked in purple)

Potential Drop: -1.32% (-$40)

Indicators:
RSI (Relative Strength Index): At 50.92, near neutral territory but leaning slightly downward, indicating potential bearish momentum.

Volume: Increased during the initial drop, suggesting sellers are stepping in.

Trade Idea:
📉 Bearish Bias (If neckline breaks)

Sell below: $3,120

Take Profit: $3,070 - $3,060

Stop Loss: Above $3,130

📈 Bullish Scenario (If neckline holds)

If price bounces from support, a move back toward $3,140+ could occur.

Buy above: $3,125

Take Profit: $3,140 - $3,150

Stop Loss: Below $3,115

Conclusion:
Gold is at a crucial decision point. A confirmed breakdown of the head and shoulders pattern could lead to further downside. However, if bulls defend the neckline, we could see a recovery toward recent highs. Watch price action closely! 🚀📉

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