“Resistance Block Breakdown” From the chart, gold has been rejected at the resistance block (the top red zone), which marks a key level of selling pressure. This rejection confirmed the bearish outlook, and a short position was initiated within the green zone above the current price. The green zone represents the entry area for the short trade, which aligns with the overall bearish structure.
The price has since broken below multiple levels, including key supports and trendlines, showing strong downward momentum. This breakdown has solidified the bearish trend, with the price now pushing lower. The target for the short trade is the lower red line at 2,839.447, which serves as a major support level and the likely point where the trader expects the price to slow down or reverse.
The bearish trendline (yellow line) further reinforces this move, as gold continues to respect the downward structure. As long as the price stays below the green entry zone and the red resistance block, the short position remains valid and the bearish momentum intact.
This setup is a textbook example of trading a resistance rejection combined with bearish continuation, aiming for a precise target near 2,839.447.