FX.co ★ XAU/USD, GOLD

XAU/USD Weekly Chart Technical Analysis The XAU/USD weekly chart is currently approaching a very important decision zone after experiencing a strong bearish correction from the recent Higher High (HH) near the 5421 resistance level. Price has shifted from an aggressive bullish rally into a corrective phase, where sellers are gradually pushing the market lower toward a major support region. I can clearly see that the overall market structure remains sensitive because price is now testing a historical demand area where buyers previously entered the market. This area will likely determine the next major move for gold. Trendline and Price Action Analysis A descending trendline resistance is visible from the recent peak, showing that bearish momentum has controlled price action over the last several weeks. The sequence of lower candles confirms that sellers are maintaining short-term dominance. I notice that price continues respecting this trendline, meaning any bullish recovery will first require a confirmed breakout above this descending structure. Until that happens, downward pressure remains active and traders should remain cautious about immediate buying positions. Order Block and Weekly Support Zone The highlighted Order Block combined with the weekly support zone around 3960–4080 is the most important area on this chart. I believe this zone can act as a strong institutional demand area where buyers may attempt accumulation. If price holds above this support, a bullish reversal could push gold toward the 4800 resistance trend zone. However, if sellers break below this region, the bearish continuation scenario could drive price toward lower long-term support levels, confirming deeper market weakness ahead. Indicators and Tools Used The analysis is based on Weekly Timeframe Structure, Market Structure (HH & HL), Descending Trendline, Horizontal Support & Resistance Levels, Order Block Zone, Weekly Demand Zone, Price Action Candlestick Behavior, and Breakout/Rejection Projection Analysis.