Gold: Fakeout Completed, Pennant Target is on going

[bonk]

Hi guys!

Gold just completed a textbook sequence of bearish structures. After the strong drop that formed the flagpole, price consolidated inside a pennant pattern. This type of setup typically continues in the direction of the prior move, and the measured target sits around $3,946, which aligns with your highlighted zone.

Before breaking lower, price formed an inverse head and shoulders, the reaction to the target of this pattern happened and we saw a clear fakeout right above the trendline.

As long as Gold stays below this broken trendline, the expectation is for a retest/rejection, followed by continuation toward the pennant’s full target.

The overall structure still favors the downside unless the market reclaims the fakeout region convincingly.

[Nahid Hossen]

Fakeout perfectly cleared weak hands — classic move before continuation. 🟡

[Abdul Khan]

Pennant target still valid as long as price respects the breakout structure.