Gold (XAU/USD) – 1H Chart Analysis (Feb 27, 2025)
1. Market Structure & Trend Analysis
Gold has been trading inside an ascending channel, but recently, price broke below the lower trendline, suggesting potential downside continuation.
The key support level at $2,836 is highlighted as a major area to watch. If this level breaks, further downside could be expected.
Bearish RSI Divergence has formed, meaning price made higher highs, but RSI made lower highs, signaling weakening momentum.
2. RSI & Momentum Analysis
RSI is currently at 38.40, approaching the oversold area (below 30), which means we could see a short-term bounce before further downside.
However, momentum remains weak, and lower highs on RSI indicate that buyers are losing strength.
3. Key Levels to Watch
Resistance:
$2,900 - $2,910 (Previous support turned resistance)
$2,940 - $2,950 (Upper trendline resistance)
Support:
$2,860 (Recent bounce zone)
$2,836 (Major support; a break below confirms further downside)
$2,800 (Psychological level and next downside target)
4. Potential Trade Scenarios
📉 Bearish Scenario (Higher Probability)
If price rejects at $2,900 or breaks below $2,860, we could see a move down towards $2,836.
A break below $2,836 would confirm further downside towards $2,800.
Short Setup:
Entry: Below $2,860
Stop-loss: Above $2,900
Target: $2,836, then $2,800
📈 Bullish Scenario (Low Probability)
If price reclaims $2,900 and holds above it, a move back to $2,940 - $2,950 could be possible.
Long Setup:
Entry: Above $2,900
Stop-loss: Below $2,880
Target: $2,940
5. Conclusion & Strategy
Short-term bias: Bearish, with a potential retest of $2,836.
Watch for rejection at $2,900 or breakdown below $2,860 for a short opportunity.
Longs are risky unless price reclaims $2,900 and shows strength.
1. Market Structure & Trend Analysis
Gold has been trading inside an ascending channel, but recently, price broke below the lower trendline, suggesting potential downside continuation.
The key support level at $2,836 is highlighted as a major area to watch. If this level breaks, further downside could be expected.
Bearish RSI Divergence has formed, meaning price made higher highs, but RSI made lower highs, signaling weakening momentum.
2. RSI & Momentum Analysis
RSI is currently at 38.40, approaching the oversold area (below 30), which means we could see a short-term bounce before further downside.
However, momentum remains weak, and lower highs on RSI indicate that buyers are losing strength.
3. Key Levels to Watch
Resistance:
$2,900 - $2,910 (Previous support turned resistance)
$2,940 - $2,950 (Upper trendline resistance)
Support:
$2,860 (Recent bounce zone)
$2,836 (Major support; a break below confirms further downside)
$2,800 (Psychological level and next downside target)
4. Potential Trade Scenarios
📉 Bearish Scenario (Higher Probability)
If price rejects at $2,900 or breaks below $2,860, we could see a move down towards $2,836.
A break below $2,836 would confirm further downside towards $2,800.
Short Setup:
Entry: Below $2,860
Stop-loss: Above $2,900
Target: $2,836, then $2,800
📈 Bullish Scenario (Low Probability)
If price reclaims $2,900 and holds above it, a move back to $2,940 - $2,950 could be possible.
Long Setup:
Entry: Above $2,900
Stop-loss: Below $2,880
Target: $2,940
5. Conclusion & Strategy
Short-term bias: Bearish, with a potential retest of $2,836.
Watch for rejection at $2,900 or breakdown below $2,860 for a short opportunity.
Longs are risky unless price reclaims $2,900 and shows strength.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.