Gold Breaks Trendline – Deeper Correction Ahead?Gold (XAUUSD) has just broken below its short-term ascending trendline formed since mid-May. The candle closed around $3,333, confirming a bearish engulfing pattern and highlighting growing selling pressure after multiple failed attempts to reclaim the $3,383–$3,399 resistance zone (Fibonacci 0.5–0.618).
Key Levels to Watch:
- Immediate Support: $3,315 (tested twice before)
- Main Resistance: $3,383–$3,399 (Fibonacci zone)
- Major Resistance: $3,435–$3,451 (May high zone)
If $3,315 fails to hold, gold could retest $3,285–$3,270, with deeper downside toward $3,222.
Technical Overview:
- The ascending trendline is now broken.
- Bearish engulfing candlestick confirms momentum shift.
- Price rejected sharply from Fibonacci 0.618 – $3,399.
Trade Setups to Consider:
Sell Opportunity: Short near $3,360–$3,383; stop loss above $3,400; targets at $3,315 and $3,270.
Speculative Buy: Watch for reversal patterns near $3,315; stop loss below $3,300; short-term target $3,350–$3,365.
Caution: This week brings major U.S. economic events (GDP, PCE, Fed speeches). Trade reactively, manage risk tightly, and avoid overleveraging.
