GOLD Quick Sell-Off Following Resistance Rejection

[kevin1]

The price perfectly fulfilled my previous idea. XAUUSD is approaching the 3,430 resistance zone following a strong upward leg, showing early signs of exhaustion. The chart structure is forming within an upward channel but facing strong rejection at the red trendline resistance. If sellers maintain pressure, a decline toward 3,386–3,360 support becomes the primary scenario. Broader context suggests bearish momentum could strengthen if this breakdown accelerates since the market at key resistance.

Key Levels

Sell trigger: Rejection from 3,430 resistance
Sell zone: 3,430–3,435 ideal short entry region
Target: 3,386 → 3,360 downside objective
Invalidation: Breakout above 3,440 resistance

Risks

Unexpected weakness in USD could push gold higher instead of lower.
Safe-haven demand from geopolitical or macro shocks may boost gold.
Weak economic data Core PCE Price Index.

If this idea resonates with you or you have your own opinion, traders, hit the comments. I’m excited to read your thoughts!

[Smith]

Really well explained setup, the rejection at 3430 makes sense as it aligns with previous supply levels. I agree that downside targets toward 3386–3360 look reasonable if sellers keep control. Risk management around the invalidation level is key here.

[Dave]

Solid breakdown. The channel structure and red trendline rejection are clear on the chart. I like how you highlighted both the bearish momentum and the risk factors like USD weakness or safe-haven flows—keeps the analysis balanced and realistic.

[Nahid10]

Great analysis! While the rejection zone at 3,430 is valid, I think traders should also stay cautious about potential bullish traps. If USD weakens after Core PCE data, gold could easily break the 3,440 ceiling and push higher toward 3,460+. The safe-haven flows in times of geopolitical stress can trigger sudden spikes. I’d personally wait for confirmation candles before shorting aggressively here. Still, your chart context is spot on!

[jacson4]

Great analysis! While the rejection zone at 3,430 is valid, I think traders should also stay cautious about potential bullish traps. If USD weakens after Core PCE data, gold could easily break the 3,440 ceiling and push higher toward 3,460+. The safe-haven flows in times of geopolitical stress can trigger sudden spikes. I’d personally wait for confirmation candles before shorting aggressively here. Still, your chart context is spot on!

[emranrx]

Solid work on highlighting the sell trigger zone. For me, the key takeaway is risk management. Entering shorts around 3,430–3,435 makes sense, but keeping a tight invalidation above 3,440 is crucial. Gold is notorious for false breakouts, especially around big data events like Core PCE. Having clear targets (3,386–3,360) with proper R:R is exactly how disciplined trading should look. Great reminder that patience + levels matter most.

[Maxwell]

Nice breakdown — that 3,430 zone has been a brick wall so far, rejection looks clean.

[rafihasan]

I’m eyeing 3,386 too, but if USD slips, gold could rip past 3,440 fast. Risk/reward is tight here.

[Nahiar806]

Channel structure is clear, but I’ll wait for confirmation candle before shorting — too many fakeouts lately.

[kelson10]

Really appreciate how you tied the technicals with the macro backdrop. The Fed’s dovish tone combined with inflation uncertainty creates a tricky environment. If inflation stays sticky, bearish continuation toward 3,360 looks realistic. But if the Fed signals cuts, demand for gold could skyrocket, invalidating shorts fast. Traders often forget how macro catalysts align with chart structures — your post did a great job of bridging that gap!