XAU/USD (Gold) Trade Setup – Descending Channel Strategy📉 XAU/USD (Gold) Trade Setup – Descending Channel Strategy
#### **🔹 Summary:**
Gold is trading within a **descending channel**, indicating a bearish trend. The strategy is to **sell near resistance** and **target support levels** unless a breakout occurs.
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### **📌 Bearish Trade Setup (Sell Strategy)**
**🔻 Sell Entries:**
1️⃣ **3,020 - 3,030** (Upper boundary of the channel)
2️⃣ **3,015 - 3,018** (Rejection from the 21 EMA)
**🎯 Take Profit (TP) Targets:**
✅ **TP1:** 3,000 (Key support level)
✅ **TP2:** 2,980 (Next major support)
✅ **TP3:** 2,960 (Extended target if momentum continues)
**🚨 Stop Loss (SL):** **Above 3,035-3,040** (Breakout invalidates the setup)
**📊 Confirmation Signals:**
✔ EMA rejection (21 EMA acting as resistance)
✔ Volume increase near resistance
✔ Bearish candlestick patterns (Engulfing, Shooting Star)
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### **📈 Alternative Bullish Setup (If Breakout Occurs)**
If price **breaks above 3,040**, it may signal a reversal.
**🔹 Buy Entry:** **Above 3,040 (Confirmed breakout & retest)**
🎯 **Targets:** 3,095 , 3080
🚨 **SL:** Below 3,030
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### **✅ Conclusion:**
🔻 **Primary Plan:** Sell on rallies within the channel.
🔺 **Alternative Plan:** Buy only if price breaks 3,040 with strong volume.
📉 **Stick to risk management & confirmations!**
